I own 2 rented properties jointly with my friend. We are Tenants in Common and each have a 50% share in both.
We split all income and costs equally and this has worked well for us for many years.
We aren’t getting any younger and have discussed what would happen to our shares if we still owned them when one of us passes. Our families are very reasonable people, but money sometimes does strange things to people, and we wouldn’t one of us to be forced to sell the flats so they could obtain the cash value.
The flats are broadly similar in value and what would probably make most sense is for each of us to give away our share in one of them in return for receiving the share of the other.
We paid the 3% stamp duty on the whole value when they were purchased.
Does anyone know if we would be liable for this on the whole value of each flat or just the 50% share we are gaining?
I have looked at HMRC website but can’t see that this is covered. I am fairly certain that we can’t just gift our shares as we are getting something in return, ie the share of the other property.