Stamp Duty -Upcoming Budget.

[Mixednuts]

Guys its a bit of a crystal ball question which I hope is allowed, but it may be something that one of you may have an input in.

I have laid a deposit on a house and contracts should be signed this week.
There is one caveat and that is the seller needs some time, and have asked for a closing date of early 2013. I have no issue with that once contracts are signed, and we know we have the house.

My concern now stems from the fact that we have a upcoming Govt.budget and if the stamp duty is increased then am I exposed to that even if I sign contracts this week?

There is also an increase in Land registry from Dec which is going up €265 to €915.

Ideally I would love to get this deal done and closed before the budget etc, but has anyone ever heard a deal been completed for a property but the seller staying in the property after the close date.

thanks in advance.

 

[Knuttell]

Ideally I would love to get this deal done and closed before the budget etc, but has anyone ever heard a deal been completed for a property but the seller staying in the property after the close date.

No,never heard of such a thing,doubt your solicitor would advise that course of action.

You could rent the property to them for a few months but that's a whole different can of worms,either they want to sell the property or they don't,3 months waiting around is too much messing in my opinion and you are exposing yourself to additional fees and a slim possibility (very slim)that S/D rates will increase.

To paraphrase Charlie McCreevey you need to tell the vendors to use the pot or get off it.

 

[mf1]

"but has anyone ever heard a deal been completed for a property but the seller staying in the property after the close date."

Yes.

Can it work? Yes - but see below

Is it recommended? No.

Why?

The deal is : vendor gets money and purchaser gets vacant possession. It's a really simple concept. No what ifs, maybes or, but I thought..........

What happens when vendor starts acting the maggot? Has nowhere to go? Does not want to leave?

Would it not just be easier all round if the vendor found somewhere else?

You know where you stand, figures suit you and there are no nasty surprises.

mf

 

[Mixednuts]

Thanks for the excellent replies.

Solicitor reckons that if we can get the contracts signed in the next couple of weeks then usually its the contract date that revenue go by when deciding stamp duty rate.

no guarantees but.