stamp duty on investment property

I am purchasing my parents family home from my brother for 125,000 euro which when renovated I intend to rent.The house was built in 1935 .What is the position in relation to stamp duty.As its below the 127,000 euro threshold for stamp duty I should not be elegible to pay stamp duty.I have to carry alterations and refurbishments to bring it to a habitable condition. Is stamp duty payable on agreed contract price or current market value or can Revenue insist on a valuation.

Is €125K the actual fair market value of the property?

Haille said:

Is stamp duty payable on agreed contract price or current market value

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The latter.

or can Revenue insist on a valuation.

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Yes.

Bear in mind that asset transfers between blood relatives benefit from consanguinity relief under which SD is charged at half the normal rate that would apply between non blood relatives.

Haille said:

I am purchasing my parents family home from my brother for 125,000 euro which when renovated I intend to rent.The house was built in 1935 .What is the position in relation to stamp duty.As its below the 127,000 euro threshold for stamp duty I should not be elegible to pay stamp duty.I have to carry alterations and refurbishments to bring it to a habitable condition. Is stamp duty payable on agreed contract price or current market value or can Revenue insist on a valuation.

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You will have to submit a written valuation from an independent valuer (e.g estate agent etc..),The revenue always have right to query valuation and tend to look at transactions between family members more closely(particularly if they are close to a tax threshold) but if the value of €125,000 is genuine you will have no problem.

It is the value when you buy that matters so if renovations carried out later not relevant for stamp duty but will be relevant if cgt liability when you sell.

€125,000 sounds very low for any house these days so make sure you get property valued first.