To ask how to avoid 2nd home rate stamp duty

[Stampdutywoes]

Hear me out before you attack.

Currently living in rental property after splitting with ex partner. We own the home he is living in jointly.
The landlord of my rental wants to sell and I would like to buy it but the additional 5% stamp duty rate for what would count as a second home is a killer.
Are there any conveyancing solicitors who could advise on how to avoid (not evade) this extra 5%?

It’s worth looking into but I’d rather we both owned both so I think we just have to take the hit on stamp duty and potentially CGT at some point too.

If you want to own 2 houses then you have to PAY for the privilege

This doesn’t really explain anything - you’d want to move back in with him, so you’re not actually separated but still in some sort of relationship where you just live separately because you’re ill? Or you’d want to move back in if he dies first?

It all seems a bit complicated for a couple that have supposedly split up. I realise I’m just being nosey now (in my defence, this is my line of work!!).

Every property can be sold for the right price no matter how unusual it is, and therapy is available if you need help with the emotional aspect of selling a much loved family home. Paying extortionate amounts of stamp duty and professional fees for advice on how to continue to own 2 properties when you’re apparently not in a relationship just doesn’t make sense.

No snark intended, so I’m sorry if came out that way, but forewarned is forearmed and all that 🤷🏻‍♀️

Thanks

WTAF?!!!!
Probably the worst advice I have ever seen on Mumsnet.

I wasn't sure if I'd missed it you had children. Do you not want to leave them a share of either house in your will?
Because if you own a house as joint tenants you can't leave it to anyone

I think there is a way to avoid second home stamp duty surcharge. I am not a lawyer so you should check this out with someone better qualified.

There is no second home surcharge if you are replacing your main house, even if you own other property. So, if you buy the cheapest property you can find - I’m not sure if the second home surcharge applies on all homes but even if it does it will be 5% of a much smaller number. You declare this as your main home. You then sell it and buy another ‘main home’ and only pay basic stamp duty.

Other transaction costs may make this unviable but it is a legal way to avoid second home surcharge.

Check out with a specialist accountant whether there is a way. Can you each co own with DC?

That makes no sense.

No kids, I was just being facetious about trusting a child not to throw a parent out if the house was transferred to them. I certainly wouldn’t trust my siblings to let my parents stay in their home if ownership was transferred to them.

Could you form a Ltd company and buy the second one under that?

I think higher rate stamp duty applies to company purchases too

Have you also considered the second home council tax? In some councils this can be 100% so double what you would pay if you just owned one home fully.

I think as we live separately that won’t apply

This is up there for cloud cuckoo land/batshit crazy nomination to classics @mumsnet!

If @Stampdutywoes is still with us & not off generating hypothetical children (who's advice to kick 'ex' partner out the house/estate/Windsor Palace would be the best she's received all day...... I hope you've had your entertainment value from this one?

I hope "ex" DP genuinely doesn't ship in a leggy blonde while you're off having the vapours in your 2nd property for a bit of space from domestic drudgery on the estate with him indoors.

I hope that whatever scheme you cook up, the joint & several ownership stands up so he doesn't allocate his share of either property to someone else by changing his will (appreciate doing things properly via Land Registry can preclude this).

And I absolutely hope that you pay the (appropriate) higher rate of SDLT on any 2nd property purchase, and the higher rate council tax due! Whatever Jilly-Cooper-land cosy arrangements you enjoy with your "ex", this is categorically, definitely, a second property purchase and you are exactly the kind of people the higher SDLT and council tax arrangements were set up to ensure you pay a fair share of the tax pie!

It still does apply. As you own another property. So the property you aren’t living in is classed as a second home.

@MeandT agreed. I’m still torn though if it’s click bait or someone being hard of thinking. It’s a tough one!

Thank you for your warm wishes. It’s been a blast

I’ve never been described as hard of thinking before, Quite the opposite in fact but I’m not one to brag

I’ll just do a Reggie Perrin if they catch up with me