House buying, “bridging” and lbtt

[Purplebees]

Does anyone know how this works? Now that the lbtt is quite high for second homes. If we bought a new house but intended to “bridge” for a month or two before selling our old home. Would we still be liable to the higher lbtt payment that is paid for second homes? Do we absolutely have to sell old home first, if we want to avoid this higher payment?

Yes you'd still need to pay but you can reclaim the additional dwelling supplement if you sell the original house within 18 months. I think this has possibly been extended to 36 months due to Covid so you'll have more time.

Ah thanks. That’s really helpful. I am surprised it’s as long as 18 months. It’s a shame we would have to find the extra money in the short term though. Guess I need to get my calculator out