Stamp Duty Holiday Strategy

I saw a nice and cheap property to BTL but the owner is planning to secure an offer from us first and then start looking. So it is chained and obviously annoying for Stamp Duty Holiday investors.

So, i am thinking if i can agree with them that i complete the purchase before the holiday ends and rent it to them so they can still stay until they have found a property/

Just an idea and not sure if this is something can be done or has been done realistically speaking?

Any suggestions would help.

Sale and rent back is an FCA regulated activity. I wouldnt even consider this option if I were you. The tenant would be entitled to at least a five year tenancy.

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That is if you are a firm isn’t it?

Not just companies. See: Sale and rent back schemes - Shelter England

My understanding is that there is no stamp duty holiday for buy to let properties. I was looking to get another but advised i have to pay 3% as I own other properties.

The 3% is still payable for BTL

And so it should be.

The SDH is intended to allow people to move home, not to give you greedy lot an opportunity to exploit!

chip on shoulder and jealous as well

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landlord are never greedy, it is simply an investment in a modern capitalist world. People work hard and save up their money in the bank, buying funds, stocks or invest in a property it is simply a place to store your money and earn interest.


Not in the slightest. I have a share in a property myself, that as a separated parent (that doesn’t shirk the financial responsibility that comes with it) I can do nothing about currently. So I have to find somewhere to live, until that burden comes off in a couple of years. It’s a temporary state of affairs, but frustrating nonetheless.

I had no idea that the cost of renting was so ridiculous until that situation occurred, and that the standard of most rental property was so shockingly bad. My mortgage payments for a 3 bed semi were well under the lowest rent I can find for a 1 bed sh*thole in a crap area. I feel for all the 20-somethings that have been thoroughly screwed over by successive governments failing to do anything about supply.

Buy to let landlord has a higher mortgage rate and taxed heavily. as an example if you are living in a property that is currently valued at 300,000 rented at 1000 and landlord just started his buy to let mortgage with a standard 75% interest only mortgage. then he will be repaying 375 pounds interest, if it is a flat it has 100-200 service charge. so give it or take 500 pounds of cost. As for the other 500, if you are a higher tax payer (most likely for a landlord) then you are paying 40% tax on that 500 and 75 (20% on the mortgage payment as it count as income) . so you are getting 225 pounds. ( just a rough calculation to make a point)

over the years for wears and tears landlord pays for it, refurb a kitchen cost a few thousands, fix a toilet goes a few hundreds, have some cladding issue for flats then paying another few thousands. Not to mention if you meet a bad tenant you get nothing but paying interest, service charge, court fees. for that example i am only getting 2700 a year at most if everything goes well.

So you can do the math. Ultimately, people who make rules always win and they left us to fight about what is left from their leftovers.

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