Transfer of Ownership - Consanguinity Relief Query

[fattycrowe]

Background: Living at home with my widowed mother. Am saving for a deposit for a house but with property prices falling steadily am in no rush. I am a first time buyer. My Mother has decided to transfer ownership of the property to my name. We have agreed that if the following:

• In the event of my marrying I would move out of the property and would not take possession of until her death.
• She has decided that even if I purchase my own property I would not be able to take possession of her death.

Query: In terms of Stamp Duty

• As a First time buyer is defined in Revenues Leaflet SD10A “ as an individual who purchases a dwelling house or an interest in a dwelling house, where the consideration for the purchase is derived from the individuals own means, which can be or may include consideration derived from an unconditional gift or a bona fide load evidenced in writing.”Would this preclude me from First Time Buyers relief?
• Even though the deeds would be in my name and I am not taking possession, would I still be able to avail to First Time Buyers relief?
• Consanguinity relief of 50% on Stamp Duty would this effect Stamp Duty on any property that I may purchase in the future?

Thanks for reading!

 

[mf1]

A couple of things.

Why does your mother want to transfer ownership? You don't really want to live there as you are buying your own property and there are costs associated wth this that may well wait until your mother dies.

You won't be treated a first time buyer for stamp duty purposes on your own house if you take the transfer of the property. Mind you this won't affect you if you buy a new house where by and large stamp duty is not payable by owner occupiers.

If your mother transfers the property to you, you'll be using your FTB's relief up.

mf

 

[fattycrowe]

Hi mf1 !
Thanks for your reply.

The main reason is that if she feels if she has to go to a nursing home the State will not get their hands on 15% of the property if it still is in her name. She is a Medical Card holder with about 30K in savings.

The second reason is that as my Mum is in her mid-70's and is unable to look after the upkeep of the house and its grounds. Its on a half-acre site with hedges, grass, shrubs etc to look after.Painting and maintenance of the house as well is included. I look after all this - the actual work itself and cost of all upkeep. I have done this work for years even when living away from home and as well as living at home. She feel its something that she wants to give to me.

Note: I have explained to her my plans for buying and that she doesn't need to do this but she is adamant that she wants to proceed.

I will have to talk to her further about it as I'm only concerned with her welfare.

Thanks!