Stamp Duty Holiday until March 2021, will this affect you? Are you now considering taking advantage?
With Reduced rates of Stamp Duty Land Tax (SDLT) will apply for residential properties purchased from 8 July 2020 until 31 March 2021 inclusive, I suspect many home owners that outgrew their homes during the recent lockdown have been tempted, is it now time to move?
The new rates have been outlined below
Residential Rates on purchases from 8 July 2020 to 31 March 2021
If you purchase a residential property between 8 July 2020 to 31 March 2021, you only start to pay SDLT on the amount that you pay for the property above £500,000. These rates apply whether you are buying your first home or have owned property before.
You can use the table to work out the SDLT due:
|Property or lease premium or transfer value||SDLT rate|
|Up to £500,000||Zero|
|The next £425,000 (the portion from £500,001 to £925,000)||5%|
|The next £575,000 (the portion from £925,001 to £1.5 million)||10%|
|The remaining amount (the portion above £1.5 million)
Since the market re opened in May, I have most certainly noticed there has been a complete turn within the market and rather than uncertainty within the market, more and more people have chose to sell their homes. And not for the reasons we expected, during the recent lockdown it has made clients consider is their home too big, too small, decided to move closer to family or job relocation. It really has boosted confidence in the market and now with the stamp duty holiday, I'm sure this is only going to keep the market steady during these uncertain times.
Has it made you consider moving? I'd love to know and to be able to help you take advantage of of the stamp duty holiday.