Does the higher rate stamp duty apply?

[peacefulworld]

Husband and I jointly own our current home House A. If he transfers his part of ownership to me resulting me being the sole owner of house A and he then purchases another house B alone, will the higher rate stamp duty apply to house B? Husband will only own one house which is house B.

If you are legally married, as I assume you are, then no, this won't work. Otherwise plenty of us would be doing it.

Husband - yes.
Partner, but not married, no.

You are married so count as 1 unit, it doesn't matter whose name a house is in.

The law exists literally to stop people doing this.

Is there a mortgage on your current house? If so, you will pay SDLT on the part of the outstanding mortgage which equates to his share of the property which you are "buying" off him. If he buys another property, he will pay higher rate SDLT on that. Naturally, you are both considered one unit and not one unit in different scenarios so that HMRC can levy the tax in both cases. As a married couple you can only have the one main home between you.

Even if you got divorced to facilitate this, your OH would then have to go and live in the new house as his main home, or pay CGT when he sells it later.

Yes. You are a married couple and would own two houses in your scenario.

Thank you all for the replies 🙌

Yes it applies but you can get the higher rate returns if you sell first house within three years