Non-married first time buyer partner buying house & me contributing

[ellisss]

Hello,

My situation is a bit unusual and I am looking for some advice. I already own 50% of an overseas property where my elderly dad lives - he passed it on a few years ago to me and my sister given his old age.
Now my partner and I are ready to make the step of buying a house here in the UK. Although I have never bought a house, because of the overseas property I do not count as first time buyer so would have to pay the 3% extra stamp duty fee, and I really don't want to. As my partner is the higher earner anyway and can afford a mortgage in his sole name (as well as the full deposit), we are planning on him buying the house and me contributing to the mortgage, fees, bills, improvements, etc...
Is there anything I need to consider to protect myself? I was looking at a deed of trust to set out my contributions but I am not sure whether that would class me as owner and therefore mean I have to pay the 3% extra stamp duty.
Any advice would be greatly appreciated, thanks!!

God no don't do it! Can you afford to buy a second BTL property?

sounds like you need legal advice to me. I wouldn't contribute to a house my name wasn't a co-owner on, you're effectively merely paying rent in terms of claim. It'll be fine if you split and your DP honorably but you can't always count on that and in any case you'd need to agree the terms of that upfront.

In short: why don't you make a big push to come up with the money to pay the stamp duty and deposit and split everything 50/50?

I reckon by avoiding the tax, you'll very likely leave yourself in a no leg to stand on position over rights on the house.

The extra %age on stamp duty is a price worth paying to own the property jointly.

As you are unmarried, if the house is in his name, it is his. You do not get an interest in a property by living in it, even rent-free. Nor by having sex with the owner. You could end up in the situation whereby all your resources get put into his asset. And no you can't be sure he'll do the decent thing if you split, nor what would happen if he became incapacitated, or the (slightly more straightforward) circs if he died (though you'd have to pay IHT). Though of course that's only straightforward if he's made a will and you can locate it.

Mortgage in his name
Deed of trust
Joint tenants- if you die the other inherits it. But you wouldn't bypass IHT.
Your solicitor should be able to tell you if deed of trust or joint tenant means you have to pay 3%

I wouldn't get him to put the house in his name without any protection if you aren't married

I had a similar situation when I first bought; my mum had left her house to me and my brother on her passing, so I didn't count as a first time buyer when my brother bought me out of my share and I went to buy my own property.

I was only young and at first I felt a bit aggrieved... But it was short lived and in the I paid the stamp duty and haven't given it a second thought since. If I were you I wouldn't risk not doing so as I think you'd have more to lose than the extra 3% if anything went wrong! Pay it and put it out of your mind. See it as the price of peace of mind.

I was going to suggest that you ask if DSis would like to buy you out, but that will just create a CGT liability instead!

The Stamp Duty for the additional property is a price worth paying. Is it that much £££ in the grand scheme of things?

When you think what you could lose by not being on the mortgage

If you're not married and not on the deeds, you get nothing if you split. It doesn't matter how much of the mortgage you've paid, the house is his alone.