X

Sign Up

or

By signing up I agree to Property Tribes Terms and Conditions


Already a PT member? Log In

Sign Up

Sign Up With Facebook, Twitter, or Google

or


By signing up, I agree to Property Tribes Terms and Conditions


Already a PT member? Log In

Log In

or


Don't have an account? Sign Up

Forgot Password

To reset your password just enter the email address you registered with and we'll send you a link to access a new password.


Already a PT member? Log In

Don't have an account? Sign Up

  • Tax

    Purchasing a new residential house

    Not sure if anyone has come across this but I have a number of btl properties and am selling and purchasing a new residential house for me to live in. I will be selling my current residential property and buying new so in effect only having one residential property which I live in.

    I have been amazed to get a stamp duty estimate from sols which is adding in the extra 3% sd as I am buying an extra house even though it is my residential.  This may be a deal breaker as it makes a big difference. Anyone come across this

    0
    0

    Hi Jane

    This might be an assumption being made by the solicitor that you won't be relinquishing the primary place of residence (PPR).

    If you sell your PPR and buy a new PPR the standard rate of SDLT will apply regardless of how many BTLs you still have.

    If you sell your old PPR after you buy the new PPR you will have up to 3 years you claim the relief back.

    1
    0

    Landlord with 25 years’ experience in the property market and a specialist in tenant referencing, ID and credit screening. Creator of identity, credit and anti-money laundering system ValidID.co.uk

    Chris

    My son purchased his first home several months ago and was charged the extra 3% stamp duty as he has several BTLs. He is now selling one of these BTLs but has been told by HMRC that he cant claim back the 3%. Is there no way round this

    0
    0

    Sadly he fell foul of not having a PPR to replace. As he did not have a PPR at the time of purchase but owned other property he paid the extra duty. Seems unfair I agree but that is the way the rules are written. He cannot avoid this as his BTL would not have been classed as his PPR at the time of purchase of the new property, any attempt to manipulate this will be considered evasion.

    This is not the case for Jane as she has a PPR.

    0
    0

    Landlord with 25 years’ experience in the property market and a specialist in tenant referencing, ID and credit screening. Creator of identity, credit and anti-money laundering system ValidID.co.uk


    Think it is all about "replacing your main residence". In my case I am selling my main residential and replacing all on same day. In the example quoted it is a new residential rather than replacement. Seems very unfair


    Thank you for comments, think i couldn't be correct

    0
    0