House Exchange

[lady_p_gold]

My parents want to exchange their house with someone who has a bungalow which is worth about �50k less. Can they do some sort of 'exchange' whereby my parents just give them �50k and do all the contract and conveyancing as normal. Then if so, they have been told that they may not have to pay stamp duty as if it was a normal sale as the only amount changing hands is only �50k. Is this correct or can anyone help with info. Thanks in advance.

[lady_p_gold]

Er sorry I mean the owners of the bungalow give them 50K.

[buildersmate]

I thought you raised this before on AB? I (incorrectly) told you that Stamp Duty could be avoided. Someone else, probably Dzug corrected me.

[lady_p_gold]

Yes you are right and thank you for remembering, however since my last post they have been getting conflicting information from different people, and since then another person has told them that if they do it as a proper sale then the stamp duty is payable but if they buy the bungalow with the transaction listed as bungalow + cash equality money and pay �5 to transfer their property to him then stamp duty is only payable on their property and not both. Oh it is so bloody complicated they had better just wait and get the best advice from their solicitors! Thanks anyway :) we always seem to meet on house things !

[buildersmate]

Have you tried talking to the Stamp Duty Land Tax office on 0845 6030135?

[lady_p_gold]

aha didn't know there was such an animal! Thanks buildersmate will call on Monday.

[themas]

I recall reading that there is a way of doing this. If you can't get an answer from the SDLT office - or if they say it can't be done - make sure they ask the solicitor.