In a move to boost the property market in light of the coronavirus crisis, the government has announced a temporary stamp duty holiday on the first £500,000 of all property sales in England and Northern Ireland.
The increase in the 0% threshold is effective immediately and means that any property purchases between £0-£500,000 will not pay stamp duty if completion happens before 31 March 2021.
The new, temporary stamp duty brackets are as follows:
| Up to £500,000 | 0 |
| £500,001 – £925,000 | 5% |
| £925,001 – £1.5 million | 10% |
| £1.5 million + | 12% |
The chancellor’s announcement will also benefit people buying second homes and buy-to-let properties, although they will still pay the 3% extra duty on the overall price:
| Up to £500,000 | 3% |
| £500,001 – £925,000 | 8% |
| £925,001 – £1.5 million | 13% |
| £1.5 million + | 15% |
The stamp duty holiday is a welcome announcement and a fantastic boost to the budding housing market recovery to help kick-start the economy.
For those of you lucky enough to be completing today or in the coming days, we are working tirelessly to ensure that the right amount of stamp duty will be paid on your behalf.
Further information on the latest government guidelines can be found on the GOV.UK website.
If you are thinking of buying a property, there is no better time than right now. To find out how we can help you, please contact a member of our Residential Property Team on 0345 646 0406 or fill in our online enquiry form and a member of our Team will be in touch.