I own a flat. Husband first time buyer?

M

Me&mi

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Hi there,
I bought a flat before I was married and two children later we need to move. My husband has never bought a property and the flat is in my maiden name. Could I sell and use the money for him to buy as a first time buyer with the lower stamp duty? Cheeky I know, but is it legal, anyone? Thanks.
 
Sorry to disillusion you but this has been covered by the Revenue and they rule it out.
 
No Vanilla she can. if OP is jsut going to sell her property and give the money to her husband and allow him to go forward as FTB purchasing alone then it can work. Maybe some Gift tax implications but as a married couple don't they have big exemptions from this?
 
No, Affordable, she can't. As the property will be the family home it will need to be bought in joint names and to qualify for SD exemption both borrowers need to be FTBs. If he bought alone it would be viewed as an investment property not a home and he would pay SD.

Sarah

www.rea.ie
 
Since when does a family home have to be bought in both names? (I realise that certain lending instituions may require this) But Sarah why do you say that you have put a family home in both names? This to me seemly clearly incorrect? I know you can't sell a family home without the other partners consent, but since when did a family home have to be in joint names?
 
It doesnt matter whether it is in joint names or not, what matters is that the money used from teh sale of the first flat will go to finance this new property.

Sarah w is saying that the property will need to be in joint names- yes in theory this is incorrect, but in practice I believe most of the financial institutions insist this is the case.

This is taken from the Revenue website:


What is the position where a person, being a first time buyer, purchases a house using the proceeds of the sale of a house owned by their spouse or partner who is not a first time buyer? Where a person who is a first time buyer uses the proceeds of the sale of the house they previously occupied which was owned solely by their spouse or partner to buy a house solely in their own name, first time buyer relief would not be available as the spouse or partner (not being a first time buyer) would be providing the purchase monies for the house.
 
The new place would just be in my husband's name. As it stands, this flat is our family home and it is just in my name so I'm hoping the gift thing would perhaps be possible. Thanks for the replies so far, still wonder if it is possible as the answers somewhat condradict each other.
 
What is the position where a person, being a first time buyer, purchases a house using the proceeds of the sale of a house owned by their spouse or partner who is not a first time buyer? Where a person who is a first time buyer uses the proceeds of the sale of the house they previously occupied which was owned solely by their spouse or partner to buy a house solely in their own name, first time buyer relief would not be available as the spouse or partner (not being a first time buyer) would be providing the purchase monies for the house.
Click to expand...

Curiouser and curiouser....it seems it doesn't matter whether you're living somewhere owned by your partner, just don't use their money? So if the husband in this case could raise the money alone, he could buy as a FTB? She could later sell up and use profits to pay down some of the mortgage?
 
if she sells the property and gives him the money. he goes into bank as man wanting to purchase his own home and simply says he has €x deposit..where does the problem lie?
 
Vanilla, we must have posted at the same time. It seems pretty clear from what you say that it is not possible as we'd never be able to buy without the sale of the flat. Good joke Liteweight! Ah, I thought it would be possible! Why oh why did we get married!
 
That's right Liteweight. Affordable- Part of the buying process is signing a deed with financial certificates inserted. If you are a FTB you insert the relevant certificates and aver that you are such. Another part of the buying process and the selling process is you fill in a form called the particulars delivered. This form contains details of the property, the sale price and your pps numbers. So here the OP will fill in teh particulars delivered and a copy of this is sent to her local income tax office. Lo and behold her husband fills in a particulars delivered with the purchase details and it goes to his local income tax office, where they are presumably jointly assessed. That's one way of getting caught. I'm sure there must be others. In any case it is a fraud to lie to the revenue and cheat them of taxes due and this carries with it a possible conviction for an offence, fines and penalties.

Me &Mi- I edited my post to include the quote from the Revenue so you probably didnt see it first time round, sorry about that.
 
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