PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Stamp Duty on inherited property - advice please?

Options

I have a hopefully straightforward Stamp Duty question if anyone can help please? 

Myself and my sister have inherited a property from my late brother. We are transferring the outstanding mortgage (£174,686) to a new mortgage provider, in our own names. We have been advised that Stamp Duty of £9,766 is payable. We will be letting the property out, and we both own existing properties.

Please could anyone confirm whether the Stamp Duty payable is correct? Our solicitor says it is correct, but also that he is not a tax expert so we should seek separate advice.

I wasn’t expecting to pay Stamp Duty as it was an inherited property.

Thank you

Comments

  • theartfullodger
    theartfullodger Posts: 15,693 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Done any training or education in being a landlord and/or landlord/tenant law?? If not, the alternative (ignorance) is usually unwise...
  • Rodders53
    Rodders53 Posts: 2,660 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    I'd suggest that you two are BUYING (with a Mortgage) the £174k share of the property from the Estate to pay off the Estate's Debt to the existing Mortgagor... 
    That purchase will naturally attract stamp duty on the consideration.  At least it's not the full value of the house.  Shame brother didn't have life insurance, or other funds, to pay off the mortgage debt. 

    Are you both sure you want to be Landlord in the current climate for Rental Legislation and obligations?
  • davver79123
    davver79123 Posts: 2 Newbie
    Name Dropper First Post
    Thanks for the replies. 

    @theartfullodger I’m a landlord already and have other properties.

    Thanks for the clarification @Rodders53 - there was insurance but it didn’t pay out unfortunately.


Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.9K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.9K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.