if a joint owner or tenant in common and one buys out the share of the other owner, is this shown as a house purchase on the property price register? as its really a transfer of a share of the house.
and if so, what value is shown on the property register as it would be purchasing only half the house. is it the figure that is used for the stamp duty that will appear on the register.
for example if I buy out my brother and we have a valuation received for €400k which i pay stamp duty on, is the 400k the value what appears on the register?
anybody experience of this?
It will show as a non full value transaction to the amount paid.
The 50% share of the equity (market value less mortgage balance) is paid over to buy out the other share. And I would be taking over the balance on the mortgage which is €175k.
Does the PPR only show the price paid for the share of equity or both that and the mortgage balance taken over also?
Any mortgage is not relevant.
How a transaction is financed is not relevant.
But am I not correct in saying the consideration to buy out the joint owner is both the equity paid for and also the debt assumed. Any balance left on the mortgage would be shared between the joint owners but as I am buying out the other owner then I am taking over the full mortgage debt.
So if a mortgage balance is €175k then €87.5k would be treated as purchase consideration in addition to the amount paid for share of equity.
Is that correct?
400k, owned 50/50 by two people.
You buy him out, the value is 200k. AFAIK, that 200k goes on the price register.
How you give him the 200k is not relevant.
Mortgage balance 175k, 87.5k each, so you pay the other owner by paying them 112.5k cash and taking on 87.5k debt.
That may happen, but is not relevant to the price register.