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Have found a wee House we would like to buy,on for £268,000,we have offered £250,000 for obvious reasons.

Owner wants £260,000.EA said if we went that high something would be done about the Stamp Duty,what i don't know,because,

he was talking some sort of EA code ********;(not happy about committing fraud).However my question is,won't the surveyor reduce

the value below £250,000 anyway?.Sorry if this makes no sense,but,i seem to be dealing with some pretty unscrupulous individuals.

BS :ph34r:

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Have found a wee House we would like to buy,on for £268,000,we have offered £250,000 for obvious reasons.

Owner wants £260,000.EA said if we went that high something would be done about the Stamp Duty,what i don't know,because,

he was talking some sort of EA code ********;(not happy about committing fraud).However my question is,won't the surveyor reduce

the value below £250,000 anyway?.Sorry if this makes no sense,but,i seem to be dealing with some pretty unscrupulous individuals.

BS :ph34r:

As far as I understand it (and it may be different now), you can pay £250k for the house + an amount on top for fixtures and fittings not included in the price, so that you don't go over the stamp duty level. You must not, however pay more than the market value for the f&f in their current state as you must be able to prove to the IR that you had no intent to evade tax. The only way to be sure of all this is to run it past your solicitor - they won't touch anythig dodgy with a barge pole. To be really safe you could get the f&f independently valued.

In your case, therefore you would need f&f to be worth £10k.

To answer your final question, you could hold out for £250k on the basis that it may well be reduced to that price anyway!

Edited by Analysis

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As far as I understand it (and it may be different now), you can pay £250k for the house + an amount on top for fixtures and fittings not included in the price, so that you don't go over the stamp duty level. You must not, however pay more than the market value for the f&f in their current state as you must be able to prove to the IR that you had no intent to evade tax. The only way to be sure of all this is to run it past your solicitor - they won't touch anythig dodgy with a barge pole. To be really safe you could get the f&f independently valued.

In your case, therefore you would need f&f to be worth £10k.

To answer your final question, you could hold out for £250k on the basis that it may well be reduced to that price anyway!

+1

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Have found a wee House we would like to buy,on for £268,000,we have offered £250,000 for obvious reasons.

Owner wants £260,000.EA said if we went that high something would be done about the Stamp Duty,what i don't know,because,

he was talking some sort of EA code ********;(not happy about committing fraud).However my question is,won't the surveyor reduce

the value below £250,000 anyway?.Sorry if this makes no sense,but,i seem to be dealing with some pretty unscrupulous individuals.

BS :ph34r:

There's a "scheme," apparently, that one EA in Farnham is being slightly too boastful about using, where they use a "panel solicitor" who claims they can save you up to half the SDLT. Hence there have been a fair few houses around here that have changed hands recently for a rather suspicious £20-30K above the various SDLT levels.

One of their staff got a bit pissed up in the pub over Christmas, and admitted they were well at it, but it was "good for everyone, really...." When pushed, they admitted that it possibly wasn't 100% kosher, and that "well, you probably won't get caught. But if you do - well, it's not a sort of going to prison kind of thing..."

Well on that basis, who wouldn't dive straight in - what could possibly go wrong?! :lol:

I checked it out with HMRC, and found to my surprise that apparently SDLT is a self-declaration tax. One way of doing it is that the solicitor does the dodgy deal by introducing an "intermediate" sale, (basically declaring part of the sale first, then the second an hour or so later,) hence making it look like two sales on the same day, but for less than the SDLT threshold. And then hopes against hope that HMRC is too busy to check it up and find out.

Again, what could possibly go wrong, what with the taxman being so overloaded with tax receipts in such a bouyant economy?

According to the EA in question, worth a punt or so they claim.

According to HMRC, well and truly shonky

http://www.hmrc.gov....potlights10.htm

"Run Forrest... Run!!" would be my advice.

EA's must think we were born yesterday, if you get my drift... B)

B

Edited by buzzardo

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Have found a wee House we would like to buy,on for £268,000,we have offered £250,000 for obvious reasons.

Owner wants £260,000.EA said if we went that high something would be done about the Stamp Duty,what i don't know,because,

he was talking some sort of EA code ********;(not happy about committing fraud).However my question is,won't the surveyor reduce

the value below £250,000 anyway?.Sorry if this makes no sense,but,i seem to be dealing with some pretty unscrupulous individuals.

BS :ph34r:

He might simply have meant that the owner might make a contribution towards the stamp duty payable. In effect accepting a bit less than the £260k you offered.

Why don't you ask him to clarify what he meant?

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Have found a wee House we would like to buy,on for £268,000,we have offered £250,000 for obvious reasons.

Owner wants £260,000.EA said if we went that high something would be done about the Stamp Duty,what i don't know,because,

he was talking some sort of EA code ********;(not happy about committing fraud).However my question is,won't the surveyor reduce

the value below £250,000 anyway?.Sorry if this makes no sense,but,i seem to be dealing with some pretty unscrupulous individuals.

BS :ph34r:

Not sure that it would help you much , but I am planning on setting up a portolio of cheap houses that can be added to to any purchase so that people can avoid stamp duty. So, for example if someone wanted to buy a million pound house, they can combine the purchase with ten of my ten thousand pound houses to reduce the stamp duty. Then they can sell the ten thousand pound houses back to me individually, so there is no more stamp duty to pay.

Not only is this legal (new scheme annnounced in the budget) but is also fairer since people in areas that suffer from high house prices aren't further discriminated against by having to pay higher taxes.

Mr. Scrupulous.

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There's a "scheme," apparently...where they use a "panel solicitor" who claims they can save you up to half the SDLT.

...the solicitor does the dodgy deal by introducing an "intermediate" sale...making it look like two sales on the same day, but for less than the SDLT threshold. And then hopes against hope that HMRC is too busy to check it up and find out.

According to the EA in question, worth a punt...According to HMRC, well and truly shonky

I'm genuinely interested to know if anyone else on here has come across this one?

Mr "Pissed-up-on-hubris-and-preXmas-commission" Junior EA was overheard, banging on about how clever the owner of his agency was, how they'd done it "loads of times in the last year," and how "every other decent agent would do it, as a service to both sides of the chain..."

HMRC also seem aware of it, (albeit their implicit advice was "don't touch it - unless you feel lucky, or want HM's roof over your head for a bit...") so I'm thinking there'd be other EA's pushing it, out there in HPC land.

Are there, or is it just Farnham that's turned dodgy, "cuz it's diffrent"?! :rolleyes:

B

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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