Corporate & Commercial

Ferbrache & Farrell LLP’s corporate department offers full service corporate, banking and commercial cover and is able to advise on all aspects of Guernsey corporate and commercial law, including banking and finance, regulatory, investment funds, asset management and listings on The International Stock Exchange (TISE).

Latest Insight
21 February 2024
Insight
Many leases and tenancies contain provisions that restrict activity at, or use of, the property. Typically, use clauses may restrict what is permitted, such as…
Dispute Resolution

The dispute resolution department at Ferbrache & Farrell LLP has vast experience of local and international litigation and dispute resolution generally, gained from acting in complex local and international high-value disputes, both in Guernsey and throughout the world.

Latest Insight
21 February 2024
Insight
Many leases and tenancies contain provisions that restrict activity at, or use of, the property. Typically, use clauses may restrict what is permitted, such as…
Property

The Guernsey property department is dedicated to providing tailored solutions that meet and exceed clients’ expectations. In addition, the property department provides support to colleagues in the corporate and dispute resolution departments on real estate-related technical points of law.

Latest Insight
21 February 2024
Insight
Many leases and tenancies contain provisions that restrict activity at, or use of, the property. Typically, use clauses may restrict what is permitted, such as…
UK Real Estate

We are delighted to help in relation to providing legal advice for real estate in England and Wales. We listen. We learn what your needs are. We proactively respond. Whether it’s personal or commercial property, we always provide sound and pragmatic advice, adding value to the transaction.

Latest Insight
21 February 2024
Insight
Many leases and tenancies contain provisions that restrict activity at, or use of, the property. Typically, use clauses may restrict what is permitted, such as…
Private Client

Our services for private client matters include the drafting of realty and personalty wills, obtaining Grants of Probate, acting as professional executors and assisting foreign lawyers who have requirements in this jurisdiction.

Latest Insight
21 February 2024
Insight
Many leases and tenancies contain provisions that restrict activity at, or use of, the property. Typically, use clauses may restrict what is permitted, such as…

Effective from 2 November 2022, buyers of Guernsey residential property need to consider whether they may, or may not, need to pay more document duty tax.

Two main changes to the tax have been implemented since the States’ approved budget this month.

The first is to provide downsizing relief to property buyers should certain preconditions all be met.

For example, the ‘target’ property needs to be physically smaller (25% to be exact, by reference to its Tax on Real Property assessment), and the property being sold must have been the seller’s principal private residence for the preceding two years prior to sale.

If those criteria can be met, then the starting point is likely to be that the first £400,000 of the purchase price of the smaller property will be free of tax.

A rationale for this relief is that larger properties can then be made available for, say, relocating families, or those who simply need more space. ‘Downsizers’ would arguably be less financially burdened (or be persuaded to move) if a certain amount of tax is saved for them on their onward purchase. It is presently the intention that this relief is time limited, so the benefit will end on 31 December 2024. It is not possible to take advantage of the relief more than once.

The second change is to distinguish between investors and those who are buying their home to live in (their principal private residence).

In the case of the former, document duty rates across all bands will increase by 2%.  So, if the prevailing rate of tax levied was 2.25% for the particular increment of the purchase price, then that would increase to 4.25% and so on.

In the case of the latter, namely homebuyers, document duty rates presently remain unchanged.

It is too early to see if the tax adjustments will affect transaction levels, tax received, market sentiment or stock availability, but as other Western economies have demonstrated, fiscal steps do need to be taken to adapt to changing financial landscapes.

Ferbrache & Farrell’s Property Team is always on hand to assist you through the conveyancing process, and happy to provide essential guidance.