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    • terryjameswalker
    • By terryjameswalker 9th Jan 18, 12:03 PM
    • 2Posts
    • 0Thanks
    terryjameswalker
    Help please: Stamp Duty on 3rd House
    • #1
    • 9th Jan 18, 12:03 PM
    Help please: Stamp Duty on 3rd House 9th Jan 18 at 12:03 PM
    Hi All,

    Situation is looking like this:
    Sell 1st house
    Keep 2nd house (rental)
    Buy 3rd house (new place of residence)

    Would stamp duty include extra 3% as I would already own one house.
    Or; would stamp duty be 2% because of moving home and place of residence to that property.

    Hope that's clear. And if anybody has a link to where this is actually written/prooven, that would be great.
    Thank you
Page 1
    • marliepanda
    • By marliepanda 9th Jan 18, 12:20 PM
    • 5,917 Posts
    • 12,559 Thanks
    marliepanda
    • #2
    • 9th Jan 18, 12:20 PM
    • #2
    • 9th Jan 18, 12:20 PM
    Where do you live now. House 1 or 2?

    If you live in House 1, sell house 1 and move into House 3, there is no 'extra' Stamp Duty, just standard.

    As long as you dont own 'more' houses at the end, theres no extra.
    • noddynoo
    • By noddynoo 9th Jan 18, 12:26 PM
    • 305 Posts
    • 90 Thanks
    noddynoo
    • #3
    • 9th Jan 18, 12:26 PM
    • #3
    • 9th Jan 18, 12:26 PM
    This isn;t correct If you own a house already and buy another you now pay the extra.
    • saajan_12
    • By saajan_12 9th Jan 18, 12:58 PM
    • 1,252 Posts
    • 873 Thanks
    saajan_12
    • #4
    • 9th Jan 18, 12:58 PM
    • #4
    • 9th Jan 18, 12:58 PM
    Where do you live now. House 1 or 2?

    If you live in House 1, sell house 1 and move into House 3, there is no 'extra' Stamp Duty, just standard.- agree

    As long as you dont own 'more' houses at the end, theres no extra. - not the case in general.. you have to be disposing of your main residence and not end up with more houses
    Originally posted by marliepanda
    This isn;t correct If you own a house already and buy another you now pay the extra.-
    Not if you're selling your main residence.
    Originally posted by noddynoo
    OP, it depends on whether house 1 is your main residence.

    If you are selling your main residence at the same time as purchasing a new property to be your new main residence, you only pay standard rate SDLT. If you purchase a new main residence, you pay the higher rate (extra 3%) but this is refunded if you sell your old main residence within 18 months, subject to timing requirements around when it was your main residence.
    • kingstreet
    • By kingstreet 9th Jan 18, 1:30 PM
    • 33,565 Posts
    • 18,204 Thanks
    kingstreet
    • #5
    • 9th Jan 18, 1:30 PM
    • #5
    • 9th Jan 18, 1:30 PM
    This isn;t correct If you own a house already and buy another you now pay the extra.
    Originally posted by noddynoo
    If he sells main residence and goes from owning two now to owning two after completion, the SDLT surcharge does not apply.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • terryjameswalker
    • By terryjameswalker 9th Jan 18, 1:32 PM
    • 2 Posts
    • 0 Thanks
    terryjameswalker
    • #6
    • 9th Jan 18, 1:32 PM
    • #6
    • 9th Jan 18, 1:32 PM
    House 1 = Main residence.
    House 2 = rental property
    House 3 = New main residence.

    Try and sell house 1 before buying and moving into house 3. (is the situation where we try and save the extra SDuty)
    • kingstreet
    • By kingstreet 9th Jan 18, 1:53 PM
    • 33,565 Posts
    • 18,204 Thanks
    kingstreet
    • #7
    • 9th Jan 18, 1:53 PM
    • #7
    • 9th Jan 18, 1:53 PM
    House 1 = Main residence.
    House 2 = rental property
    House 3 = New main residence.

    Try and sell house 1 before buying and moving into house 3. (is the situation where we try and save the extra SDuty)
    Originally posted by terryjameswalker
    Providing the sale and purchase of 1 and 3 are concurrent, the surcharge won't apply.

    If you buy 3 before you sell 1, the surcharge will apply but it can be claimed back if completion of the sale of 1 takes place within 3 years of the completion of the purchase of 3.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • pinklady21
    • By pinklady21 9th Jan 18, 2:06 PM
    • 610 Posts
    • 423 Thanks
    pinklady21
    • #8
    • 9th Jan 18, 2:06 PM
    • #8
    • 9th Jan 18, 2:06 PM
    Where in the UK are you buying? The above applies in England. The Stamp Duty rules in Scotland are slightly different. eg you would only have 18 months to sell your 1st house and reclaim the additional 3% paid on the purchase of house 3.
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