NEWS FLASH - What does today's stamp duty changes mean to you?
STAMP DUTY CHANGES ANNOUNCED by Chancellor Kwasi Kwarteng .
Stamp Duty Land tax (SDLT) is a lump sum payment you must make when purchasing property over a certain threshold.
Under the previous system, no stamp duty was paid on the first £125,000 of any property purchase.
- The government has now doubled that – to £250,000 - for all home purchases. (A saving of £2,500, based on the first £250,000 of your purchase).
- The previous threshold at which the duty was paid by first-time buyers was £300,000.
- This has been increased, to £425,000.
The maximum value of a property on which first-time buyers’ relief
can be claimed will also increase from £500,000 to £625,000.
Stamp duty can be difficult to understand, below we explain everything you need to know.
Stamp duty is a payment you'll need to make if you're buying a property or piece of land.
You pay the tax when you:
- buy a freehold property
- buy a new or existing leasehold
- buy a property through a shared ownership scheme
- are transferred land or property in exchange for payment, for example you take on a mortgage or buy a share in a house.
The rate a buyer must contribute depends on the price and type of property.
You only pay when the house you're buying costs more than a certain threshold- this is now £250,000 for all buyers and upto £425,000 for First Time Buyers.
We hope this information helps you with your house move.
Thinking of moving? CLICK HERE to arrange your valuation.