Help, new law thing and parents giving you the deposit....

P

pricilla

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What's the story on this new law, I wasn't really paying attention because I didn't think it concerned me.
To cut a long story short..... My boyfriend and I got a house together in March/April, paid half the deposit each, it's currently being built and will be finished next year. The thing is, his name is not included on the mortgage -because we couldn't count his income (he had just started up a new business) so the bank thought I'd more of a chance of getting a mortgage on my own. Which I did.
The bank asked for a letter from me stating that my dad was giving me €10,000 (gift) towards the deposit. He didn't really, it was my boyfriend who gave it to me. Are ye still with me?
Anywho, it's only just after dawning on me that this may include me in this new law they are bringing out. When is that effective from?
 
Just to clear it up, I was rambling a bit there.
My dad didn't go garantaur or anything. He didn't actually give me any money, the bank just made me write a note saying that he intended giving me €10,000. My boyfriend who is also a first time buyer gave me the money.
 
He is not guarantor but appears to have 'gifted' you the money.

the 'new' thing is that some loan guarators are seen as buyers and they are not first time buyers (having a house for years ) so YOU get whacked for stamp duty. You said he guaranteed nothing so chill. !!

You and the boyfriend sort out a written agreement too.
 
Yeah I did a written thing with the solicitor already.
So a gift is ok? (Even though it wasn't really a gift, it was just red tape with the bank.)
Thanks for that Tonka. I have to stop panicking, it's bad for my heart haha.
I just got through to my boyfriend and he said that they'll probably scrap the idea anyway because there'll be foreclosures on houses all over the place if they do that to the poor FTB's.
 
Where a first time buyer receives an unconditional gift of monies which are used to purchase a house, he/she will not be precluded from claiming first time buyer relief.

What does "not be precluded" mean? I'm hoping it means not prevented from claiming it, therefore okay?
 
Pricilla, you're fine. Not Precluded means you won't be prevented from claiming it.

Just one thing that might pose a problem in years to come. If your BF's name is not on the Deeds of the house, and you ever put him on the deeds he may end up Paying Capital Aquisitions Tax. In other words it will be like you are giving him half a house for nothing.

It's nuts the kind of bullshit people are having to go through in this country just to buy a bloody house to live in. Congratulations on managing to do it.

-Rd
 
I know yeah, buying a house is like an obstacle course. Then all you have to do (after completing all the levels) is hand over your salary for the next 30 years.
At the end of this term, you can sell it at a price that will just about cover the cost of your stay in a home for the bewildered :D
 
You might want to consider adding your boyfriend's name to the deeds even though he doesn't appear on the mortgage.
 
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