Postby PParking » Sun Apr 29, 2018 12:05 pm
Thanks,
That's what we initially thought but having read around a bit I wasn't sure as there appears to be some latitude in determining what is the main residence?
I also came across this: www.zoopla.co.uk/discover/buying/12-month-countdown-to-escape-second-home-stamp-duty which appears to mirror the situation we find ourselves in?
2. You've sold a property you last lived in before 26 November 2015
C and D bought Property 1 together in 2002 and lived in it until 2006 when they bought Property 2. But they didn’t sell Property 1 – they rented it out to tenants instead.
Now, C and D are buying another home – Property 3 – to live in, at a cost of £500,000. But to fund the purchase, they will first need to sell Property 1. This time, they will keep Property 2 which is worth £200,000.
If they complete the purchase by 26 November 2018 they will escape the surcharge on Property 3 and the SDLT is £15,000
If they complete after 26 November 2018 the 3% loading will apply to Property 3 and the SDLT will cost £30,000
Why? C and D once lived in Property 1 as their only residence (the fact they have also lived in Property 2 since is irrelevant).
But because they last lived in Property 1 more than three years ago, to make use of replacing main residence rules, they need to complete the purchase of the new property by 26 November 2018.
Read more at https://www.zoopla.co.uk/discover/buying/12-month-countdown-to-escape-second-home-stamp-duty/#dfp16uAo0hzDy0Wm.99