Hi Gina,
The rules are very strict for the reduced rated VAT relief for empty residential properties.
The property does need to be empty for 2 years before the work starts with only the exception of:
• illegal occupation by squatters
• occupation by ‘guardians’
• non-residential use, such as storage for a business
Please see the guidance below:
Buildings and construction (VAT Notice 708) Section 8
Thank you