I am purchasing a site from a farmer subject to planning permission for €170k. The rate of stamp duty for this transaction is 9% as it is classed as non residential property.
If there was a building agreement included in the contracts I would pay 3% of site value or 3% of 25% of site value + building costs. At the moment we don't have a building agreement with anyone.
Can we include a building agreement in the contracts with a 3rd party builder and then pay the 3% rate rather than the 9% rate.
This building agreement would have no connection with the farmer, but would state that we are building a certain size house for a certain cost.
We still don't know if the farmer would be agreeable to any other clause being included in the contract, but I was wondering was this an angle that would be worth following.
Thanks
Peadar
If there was a building agreement included in the contracts I would pay 3% of site value or 3% of 25% of site value + building costs. At the moment we don't have a building agreement with anyone.
Can we include a building agreement in the contracts with a 3rd party builder and then pay the 3% rate rather than the 9% rate.
This building agreement would have no connection with the farmer, but would state that we are building a certain size house for a certain cost.
We still don't know if the farmer would be agreeable to any other clause being included in the contract, but I was wondering was this an angle that would be worth following.
Thanks
Peadar