Stamp Duty Boost

27th November 2017

Stamp duty boost!

Now we know that many of our customers are in the process of buying or moving, and it was great to see that last week`s budget offered a boost to those seeking to buy for the first time.  With house prices remaining high, any first time buyers now have the added saving of not having to pay stamp duty on any property up to £300k.  Even houses in the next bracket up to £500k will see a considerable saving.

• No stamp duty on property up to £300,000

• Properties between £300,000.01 & £500,000 will be charged 5% duty only on amount above £300k

The latest data shows that your average first time buyer in England purchases a property at £191,000, under the old regime this would have resulted in approx. £1,300 being due in tax. Any first time buyer who could stretch to a £300,000 home would have been looking at a tax bill of £5,000!

What is stamp duty?

Stamp duty is a lump sum tax that anyone buying a property or land over a certain amount has to pay. The rate varies dependent on the purchase price.

What is a first time buyer?   

The dictionary definition of a first-time buyer is 'a person buying a house or flat who has not previously owned a home and therefore has no property to sell'. Unfortunately if you are have never owned a property, but buy with a partner who has, then you`re no longer classed as a first time buyer.

One way to help save up a bit quicker for the deposit on your dream home, is downsize your rented home, (even cheaper to move back to the hotel of mum and dad!!) put your belongings into safe and secure self storage and start saving. Your first steps on the property market could now be closer than ever!