Sustain Posted May 12, 2016 Share Posted May 12, 2016 thinking of buying a house on next visit back and renting it for 12 to 18 months before returning for longer period. Not needing a mortgage but would like idea of added costs will be incurring for purchase. Will be wanting to complete decent conveyance, full building report Stamp duty? other new costs Price range is GBP 1.5 to 3.0 million Link to comment Share on other sites More sharing options...
Bungo Posted May 12, 2016 Share Posted May 12, 2016 Stamp duty and conveyancing yes. Haven't heard of any " new" costs being introduced. If this will be a second home (if you buy when you already own in Australia) then stamp duty will be substantially higher. Link to comment Share on other sites More sharing options...
Keith and Linda Posted May 12, 2016 Share Posted May 12, 2016 thinking of buying a house on next visit back and renting it for 12 to 18 months before returning for longer period. Not needing a mortgage but would like idea of added costs will be incurring for purchase. Will be wanting to complete decent conveyance, full building report Stamp duty? other new costs Price range is GBP 1.5 to 3.0 million We are doing the same later this year, but divide your figure by 10 for us. Link to comment Share on other sites More sharing options...
Gbye grey sky Posted May 12, 2016 Share Posted May 12, 2016 See Stamp duty calculator. https://www.moneyadviceservice.org.uk/en/tools/house-buying/stamp-duty-calculator The difference for a 2nd home is quite marked. Link to comment Share on other sites More sharing options...
dmjg Posted May 12, 2016 Share Posted May 12, 2016 See Stamp duty calculator. https://www.moneyadviceservice.org.uk/en/tools/house-buying/stamp-duty-calculator The difference for a 2nd home is quite marked. Im guessing it wont be a second home, More so, only british property owned............. Link to comment Share on other sites More sharing options...
Bungo Posted May 12, 2016 Share Posted May 12, 2016 Im guessing it wont be a second home, More so, only british property owned............. Where does it say that overseas homes are excluded? I am not saying it doesn't, as I haven't looked into it. Link to comment Share on other sites More sharing options...
Gbye grey sky Posted May 12, 2016 Share Posted May 12, 2016 Im guessing it wont be a second home, More so, only british property owned............. If it is not the primary residence then I would expect it to be defined as a second home. That the primary residence is overseas I would not expect to be pertinent but possibly worth the OP looking into anyway. Link to comment Share on other sites More sharing options...
CiderDrinkingCoder Posted May 12, 2016 Share Posted May 12, 2016 Determining the primary residence would probably be something that flies under the radar, ordinarily; however, with that sort of budget, and the stamp duty incurred, I would imagine HMRC could cast a glance. Has the OP tried consulting Mossack Fonseca? I understand they can help with things like stamp duty. Link to comment Share on other sites More sharing options...
Guest Posted May 12, 2016 Share Posted May 12, 2016 There is now an additional 3% stamp duty on property bought to rent out. Link to comment Share on other sites More sharing options...
Bungo Posted May 12, 2016 Share Posted May 12, 2016 There is now an additional 3% stamp duty on property bought to rent out. No it is definitely now on property "bought to rent out". It is on purchases which result in you owning more than one property (see discussion above). Link to comment Share on other sites More sharing options...
Sustain Posted May 12, 2016 Author Share Posted May 12, 2016 Thanks for your valuable views. Guess will need to create another trust to hold the property, as it will not be primary residence until I arrive. Will just get friends to house sit versus rent. Link to comment Share on other sites More sharing options...
newjez Posted May 13, 2016 Share Posted May 13, 2016 Thanks for your valuable views. Guess will need to create another trust to hold the property, as it will not be primary residence until I arrive. Will just get friends to house sit versus rent. They must allow a reasonable time for transition though. Not everyone needs to buy and sell a house at exactly the same time. I would contact a solicitor for advice. Looks like Australia has been kind to you. Well done. You may also want to question whether it is the best time to buy property in the UK, as it has gone through a stellar performance in the last few years. But I imagine you also want to be settled. Good luck with the house hunting. Link to comment Share on other sites More sharing options...
newjez Posted May 13, 2016 Share Posted May 13, 2016 We are doing the same later this year, but divide your figure by 10 for us. You're coming back? I thought you were glued there? Link to comment Share on other sites More sharing options...
Bungo Posted May 13, 2016 Share Posted May 13, 2016 No it is definitely now on property "bought to rent out". It is on purchases which result in you owning more than one property (see discussion above). Important typo that needs to be corrected. that should have said "It is definitely NOT on property "bought to rent out". Thanks for your valuable views. Guess will need to create another trust to hold the property, as it will not be primary residence until I arrive. Will just get friends to house sit versus rent. It makes no difference whether friends house sit ir whether you rent out. It makes no difference if it is your designated primary residence. If the purchase means you own more than one property, then there is the higher stamp duty to pay. Link to comment Share on other sites More sharing options...
Keith and Linda Posted May 13, 2016 Share Posted May 13, 2016 You're coming back? I thought you were glued there? Never glued anywhere (just moved house last week too) however Aus has been good to me and has made it possible to make/achieve our intentions, it is a semi retirement thing just to spend more time with family (grandchildren mainly - the only ones at present). Also when the time comes for no more travelling we have choices with less hassles. Link to comment Share on other sites More sharing options...
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