Business rates for detached garage conversion?

[TheFaQQer]

Thanks for the tips and advice. We'll go and look at the place on Wednesday and take it from there. It's asking price of £280k is out of our budget range but I'm hoping we'll be able to get it down to about £265k. We've already resigned to the fact that we're going to have to up our original £250k budget and take the hit on the extra stamp duty. If we get anywhere with our offer, I'll start looking into the planning issue and ask my accountant about rates.

£250k plus £15k for fixtures and fittings as a separate sale....

[TheCyclingProgrammer]

£250k plus £15k for fixtures and fittings as a separate sale....

Oh how I'd love to avoid paying another £5k+ in stamp duty, but if you know of any solicitor that will even think of letting you get away with that, let me know.

HMRC aren't stupid either.

[northernladuk]

Thanks for the tips and advice. We'll go and look at the place on Wednesday and take it from there. It's asking price of £280k is out of our budget range but I'm hoping we'll be able to get it down to about £265k. We've already resigned to the fact that we're going to have to up our original £250k budget and take the hit on the extra stamp duty. If we get anywhere with our offer, I'll start looking into the planning issue and ask my accountant about rates.

You don't have to pay in cash you know. You could get a mortgage as well

[Archangel]

Regarding the business rates. At present anything under £5000 rateable value is not charged for. It is then a sliding scale up to £15000 of relief. I have approx 2,500 sq ft and my rateable value is around £10,000 and I pay around £400per month business rates

[TheCyclingProgrammer]

You don't have to pay in cash you know. You could get a mortgage as well

What made you think we weren't getting a mortgage?

We have an AIP in excess of what we need to borrow but there's a difference between that and how much I'm willing to borrow. I don't want to exceed 80% LTV which we can probably manage, just, up to £270k if push comes to shove.

[TheCyclingProgrammer]

Regarding the business rates. At present anything under £5000 rateable value is not charged for. It is then a sliding scale up to £15000 of relief. I have approx 2,500 sq ft and my rateable value is around £10,000 and I pay around £400per month business rates

Given that we'd be looking at a maximum of 150 sq ft, I don't suppose we'd be looking at much of a bill then?

[northernladuk]

What made you think we weren't getting a mortgage?

Cause you are a contractor!

[TheCyclingProgrammer]

Cause you are a contractor!

I'm doing alright...I'm not doing *that* well though. Have you seen the prices of houses in the South East?! There's a reason we're moving out as far as Colchester. This is only our first house too.

[d000hg]

How would the council even know how it's being used though? It's not like I'll have clients visiting me so the neighbours should have no cause for complaint. There must be thousands of people out there using home offices and not paying business rates.

What has this got to do with anything? Do you want to know what you're supposed to do, or how to get away without doing it?

Just stick a computer on a desk in the garage as-is, no problem!

[TheCyclingProgrammer]

What has this got to do with anything? Do you want to know what you're supposed to do, or how to get away without doing it?

I obviously want to know what is correct, I was just wondering how it would even get queried in the first place. In other words, maybe I'm worrying over nothing.