Money Moral Dilemma: Should I pay half the Stamp Duty on the house I'm buying with my boyfriend?

[Deleted User]

In the end you are willingly about to enter a transaction in circumstances where no stamp duty relief applies. Presumably going together makes it all possible. Its probably best to own that choice. Otherwise go solo.

Isin2000

To qualify for 1st-time buyers’ relief, you should be buying a single dwelling which you intend to be your main residence and it MUST be the 1st dwelling you own (in the UK or anywhere else).

If buying with someone else, both of you must meet the 1st-time buyer definition to qualify. Therefore, if you are buying with your partner for you both to live in you both do not qualify.

The fact that if you had different circumstances you might qualify is irrelevant - it's like saying I shouldn't pay tax on the next £10k of my earning cos if it was the only earnings I had I would not have to pay tax on it.

confusedfreelancer

I think you should pay all costs jointly as you're buying together. At this level of commitment, you're basically a single financial unit.

TooOrangeyForCrows

Wow! Do people really buy houses with people they are not even married to?

kimwp

Isin2000 said:

To qualify for 1st-time buyers’ relief, you should be buying a single dwelling which you intend to be your main residence and it MUST be the 1st dwelling you own (in the UK or anywhere else).

If buying with someone else, both of you must meet the 1st-time buyer definition to qualify. Therefore, if you are buying with your partner for you both to live in you both do not qualify.

The fact that if you had different circumstances you might qualify is irrelevant - it's like saying I shouldn't pay tax on the next £10k of my earning cos if it was the only earnings I had I would not have to pay tax on it.

I agree with this. It's your joint circumstances that mean there is stamp duty to pay.

horsewithnoname

TooOrangeyForCrows said:

Wow! Do people really buy houses with people they are not even married to?

Lots of people do. Lots of people don’t want anything to do with marriage, or even buy with friends and family. 

user1977

TooOrangeyForCrows said:

Wow! Do people really buy houses with people they are not even married to?

Not sure from which century you've teleported, but some of us were doing this in the 1990s.

gloriouslyhappy

Wow! Do people really buy houses with people they are not even married to?

Yes, they do, but not many seem to take Martin’s advice and make sure all the legal work is done properly to protect both parties in the event of a split.

I really think down to earth basic financial management should be taught in schools from a fairly early age with a special emphasis on how females can protect themselves and their future earnings and pensions when they stop work to have a baby. 

showmeyourkitties

What's happening with his other house? If he's renting it out will you financially benefit from this (directly in that the rent will come into your joint bank account or indirectly that this additional income to him means he can overpay the shared mortgage or buy you both nice holidays)?
Or are you paying half of this admin fee with no benefit to you of him owning another house. If he is keeping all the benefits of the rental property then I'd want him to pay all (or more) of the stamp duty. Acknowledging that you (probably) couldn't get the same interest rate or lower mortgage bill without him, I'd potentially suggest a compromise and say that he should pay 75% of the stamp duty. 

My friend just went through a similar issue and, although the stamp duty caused by her original property which hadn't sold yet would be refunded in due course, he made her pay all of it. She was also expected to pay for all of the mortgage and bills on the original property until it sold and he stopped paying his "lodgings" contribution the moment he took his stuff to the new house. Bearing in mind, he rushed the purchase of the new place and effectively left her with this period of paying for two homes he didn't see how that was his problem at all... I would have delayed the purchase until the sale if my partner had done that to me, or- more likely- chucked him out. It's not an indication of "we're in this together". Consider that if she was single, she wouldn't have had this huge financial burden and would have remained in her original home. 

Food for thought! It's complex and no two situations are the same.

Isin2000

Rozy1 said:

No, you should not have to pay half the the extra Stamp duty cost because your partner has another property, they should either sell the other property or pay the extra cost themselves. Unless you are entitled to a share of the other property

Selling the other property will probably not make you entitled to a FIRST time buyers discoount if you buy together as your partner will still not be a FIRST time buyer.

To qualify for a first-time buyers allowance you need to buy alone or find a new partner.