Selling to Brother

[pm101]

Hi i bought a house with my brother 3 years ago and i am now moving on to buy a house with my girlfreind, I am selling my half of our house to him, house worth about 400k, about 200k of a mortgage left.

What is the best way of doing this, does he have to pay stamp duty on my half, is there any way of avoiding this? will i have to pay stamp duty on our new place even thought my girlfriend is a first time buyer?

Any advise much appreciated!!!!!

 

[asdfg]

does he have to pay stamp duty on my half

Yes but at half the SD rate known as Consanguinity relief - applies to transfers of land, buildings etc. to certain relatives, e.g. parent, grandparent, step-parent, child, foster-child, brother, sister, half-brother/sister, aunt, uncle, niece, nephew. Half the normal rate of duty applies.

will i have to pay stamp duty on our new place even thought my girlfriend is a first time buyer?

Yes

 

[bacchus]

Regarding SD on your new place... may be, may be not... It depends if you buy new or not.. See [broken link removed]for details in section "New Houses and Apartments"

 

[pm101]

Thanks very much for that, very usefull, we will prob be buying 2nd hand thought so SD will apply, PTSB has advised that only partical SD may apply as girlfirend still has first times buyers status, is this correct?

Also on my brother SD at a reduced rate, is that on the 200k which i think is 4% between 190.5 & 254 of the overall value.

Thanks once again!

 

[asdfg]

PTSB has advised that only partical SD may apply as girlfirend still has first times buyers status, is this correct?

Afaia both parties have to be first time buyers, check with your solicitor.

Also on my brother SD at a reduced rate, is that on the 200k which i think is 4% between 190.5 & 254 of the overall value.

Afaia, it is the value of the property. So SD payable is 400K at 7.5% /2