Stamp duty , help please

adrian84

Hello, my residence is here in Uk and residential home.
If in the future i plan to buy an overseas property  which will be an investment, to rent it out and don.t plan to stay ever in that property.
What happens in the scenario that i will sell the uk house and buy another one in uk replacing my main and only residential regarding stamp duty? It is confusing when i have to consider i will own also an investment overseas.
Will i be able to claim first time buyer relief?
Will i pay normal residential stamp duty rates?
Is the 3%  surcharge  added to the rate?
Thank you

csgohan4

https://www.gov.uk/stamp-duty-land-tax/residential-property-rates

Have a look at the info above, answer some of your questions

adrian84

Already read that but i don.t understand moving residential house while owning an investment not a second home, specially overseas.
It is confusing because in one sentence talks about home/homes and in the next sentence it states properties. It is a huge difference between having more homes or more properties and also a big difference between property and home

sheramber

Hello, my residence is here in Uk and residential home.
 i will sell the uk house and buy another one in uk 
if you already own a house how can you claim first time buyer relief.

adrian84

After selling i will have 0 houses that put me in first time buyer bracket? Or normal residential bracket?
And scenario 2 when i change for one residential to another i have another property which in rent out overseas in what bracket will i be?

oldbikebloke

adrian84 said:

After selling i will have 0 houses that put me in first time buyer bracket? Or normal residential bracket?
And scenario 2 when i change for one residential to another i have another property which in rent out overseas in what bracket will i be?

FTB for TAX purposes (not mortgage purposes) - it is categorically stated that you must NEVER have owned property ANYWHERE on the planet Earth. If you have, then you cannot be a FTB, even if you currently do not own anything.
Do some basic reading, chapter 3 is the relevant one, and contains 148 words : https://www.gov.uk/government/publications/stamp-duty-land-tax-relief-for-first-time-buyers-guidance-note

the 3% additional property rate gives a big clue in its title. It does not talk about "homes|" or "investments", it talks about how many properties do you simultaneously own and are you buying an ADDITIONAL one?
In the case of a property you live in as home whilst owning one or more other properties, there is a concession that says if you buy a REPLACEMENT for the one used as "home" and move into the new one to be used as "home", and (crucially) sell the old one, you will pay standard rate SDLT 

The above is the simple version, there are a number of conditions which you can read for yourself, but at the end of the day if you start with 2 properties and end with 2, then you'll pay standard (although you may need to pay and then reclaim the excess as a refund depending on when the sale of the old one actually happens)

Jeremy535897

Guidance says:

"A first time buyer is defined as an individual or individuals who have never owned an interest in a residential property in the United Kingdom or anywhere else in the world and who intends to occupy the property as their main residence.

First time buyers purchasing property for more than £500,000 will not be entitled to any relief and will pay SDLT at the normal rates."

OP is not a first time buyer, and the relief has no value anyway until 1 April 2021, as £500,000 is the temporary starting point for stamp duty on one property.

For the rules on second properties, see:

https://www.gov.uk/guidance/stamp-duty-land-tax-buying-an-additional-residential-property