Advice re inheritance purchase

evertonblue

Hi all 
So I am in the process of buying a property with inheritance money. 

My daughter who is 22 will be using her portion and myself and as a trustee for my younger sons will be providing the rest - so we will have equal shares but obviously as they are not yet 18 (16 and 17) they will not be able to go on the deeds. 

I think I have made an error and am not sure if we should be paying stamp duty? We live in an expensive area so the property is £232.600 but as my daughter has not had a property before and it’s under 250 I thought no stamp duty. 

Now I am thinking that as we will be both on the deeds until my sons reach 18 that I am not a ftb so we should be paying stamp duty?? 

If so is that 3% or 5%?? 

I havent been dealing with the solicitor at all as I wanted my daughter to feel independent but now I’m worried that I have missed something - it all moved super quickly and I’m not prepared 😬

MaryNB

evertonblue said:

Hi all 
So I am in the process of buying a property with inheritance money. 

My daughter who is 22 will be using her portion and myself and as a trustee for my younger sons will be providing the rest - so we will have equal shares but obviously as they are not yet 18 (16 and 17) they will not be able to go on the deeds. 

I think I have made an error and am not sure if we should be paying stamp duty? We live in an expensive area so the property is £232.600 but as my daughter has not had a property before and it’s under 250 I thought no stamp duty. 

Now I am thinking that as we will be both on the deeds until my sons reach 18 that I am not a ftb so we should be paying stamp duty?? 

If so is that 3% or 5%?? 

I havent been dealing with the solicitor at all as I wanted my daughter to feel independent but now I’m worried that I have missed something - it all moved super quickly and I’m not prepared 😬

Are your children aware of the implications of having a share in the property? They'll lose their FTB status and won't be able to avail of stamp duty relief when they buy their own homes. 

If you are purchasing a share in the property and have owned property before you'll have to pay stamp duty, your daughter's FTB status doesn't count if she's buying with a non-FTB.