The Stamp Duty Land Tax holiday introduced by the UK government in July 2020 is coming to an end on 31st March 2021. The holiday was created to give the housing market a boost as purchasers buying their main residence won’t pay any stamp duty on properties worth up to £500,000. This means you could potentially save up to £15,000 but you must be quick.
Despite lockdown and tier restrictions, the housing market has remained “open for business” with sales, surveys and conveyancing still able to proceed, following Covid safety guidelines. If you haven’t already done so, get your property on the market now if you want to sell your home in time. Here at Anderson Wilde & Harris we can help with property valuations, surveying and much more.
What is the Stamp Duty Holiday?
Before the Holiday, Stamp Duty Land Transaction Tax had to be paid on all properties over £125,000. For first-time buyers the Tax was on properties over £300,000.
On 8th July 2002, the Chancellor announced a temporary stamp duty holiday, cutting stamp duty to 0% for all properties £500,000 or under, and the first £500,000 for anything above until 31st March 2021. So, if you are purchasing a property at £400,000, you would save £10,000.
How to take advantage
Thousands of Brits have already decided to move home to increase the size of their property or even to downsize. Perhaps you’ve dreamt of moving to a quieter, more rural location? The Stamp Duty Holiday presents the ideal opportunity to do this. It could also be a great time to explore renovation projects that previously were unaffordable but the tax break allows you to commit.
There’s no better time to buy a second home or add to your portfolio. Whether it’s for your own personal use in a new location or as a buy-to-let opportunity, make sure you seek expert advice to ensure you find the perfect property, your investment is sound and the process runs smoothly. After all you, don’t want to miss out on the benefit that may well have triggered your decision to move.