Remortgage & Marriage - Sole or Joint?

Options
moneysavergirl2
moneysavergirl2 Posts: 11 Forumite
First Anniversary First Post Combo Breaker
in Mortgages & endowments
I am getting married next year.


My fiance & I each own our own homes & a rental house each. I am moving into his house which is due to be remortgaged around the time of our marriage.

I am worried that this could trigger the additional stamp duty charge. We both prefer if he can remortgage as a sole applicant.


He is currently with Nationwide & his mortgage is very affordable compared to his income.



Does anyone know if Nationwide will allow a sole mortatage without requiring a spouse to be a party to it?


Does anyone have experience of additional stamp duty charges in this type of scenario?

Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Name Dropper Photogenic First Anniversary First Post
    Options
    The status quo can be maintained. Your partner can simply remain with the NW. Selecting a new product from those available. This is not a remortage.
  • moneysavergirl2
    moneysavergirl2 Posts: 11 Forumite
    First Anniversary First Post Combo Breaker
    Options
    Thank you! :j:j
  • SDLT_Geek
    SDLT_Geek Posts: 2,500 Forumite
    First Anniversary First Post Name Dropper
    Options
    Also if a transfer into joint ownership is done between spouses who are married and living together then the higher rates cannot apply (under changes from 22 November 2017).
  • moneysavergirl2
    moneysavergirl2 Posts: 11 Forumite
    First Anniversary First Post Combo Breaker
    Options
    SDLT Geek, has the guidance been updated since this:

    HMRC Guidance:

    Example 2 - you pay SDLT even though no money changes hands
    The owner of a property valued at £500,000 with an outstanding mortgage of £400,000 transfers half the property to their partner when they marry. Their partner takes on 50% of the mortgage (£200,000).

    HMRC charge SDLT on the amount paid for a property or the amount of ‘consideration’ given.

    By taking liability for the mortgage, the owner’s partner has given ‘consideration’ of £200,000 for their share of the property which is £1,500 SDLT (0% of £125,000 + 2% of £75,000).

    They must pay SDLT on that amount and tell HMRC about the transfer by filling in an SDLT return.

    The equity isn’t included in the calculation as you only pay SDLT on the consideration given.
  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Name Dropper First Anniversary First Post I've helped Parliament
    Options
    Link to where you got the guidance from would help.
  • SDLT_Geek
    SDLT_Geek Posts: 2,500 Forumite
    First Anniversary First Post Name Dropper
    Options
    As I remember it, the guidance you refer to, which deals with the amount of the chargeable consideration, was never updated to deal with the possibility of the higher rates of SDLT applying.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 343.4K Banking & Borrowing
  • 250.2K Reduce Debt & Boost Income
  • 449.8K Spending & Discounts
  • 235.5K Work, Benefits & Business
  • 608.4K Mortgages, Homes & Bills
  • 173.2K Life & Family
  • 248.1K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards