New stamp duty regulations
What is stamp duty?
Stamp duty land tax is a lump-sum tax that anyone buying a property or land costing more than a set amount has to pay upon completion of their purchase.
New rules for first time buyers
The new stamp duty rates for first-time buyers buying properties for up to £500,000 are as follows:
- Up to £300,000 purchase price: 0% stamp duty
- £300,000.01 to £500,000: 5% (on the difference above £300,000.01)
If you buy a first home costing more than £500,000, you won’t benefit from any change, and will be buying under the standard system.
Who counts as a first time buyer?
A first time buyer is anyone who has never bought or inherited a property. If you are buying a property with someone who has owned or inherited a property before, you will have to pay stamp duty, even if you are a first time buyer.
All other property purchases:
| Purchase price of property | Stamp Duty | Buy to Let/ Additional Home |
|---|---|---|
| £0 – £125,000 | 0% | 3% |
| £125,001 – £250,000 | 2% | 5% |
| £250,001 – £925,000 | 5% | 8% |
| £925,001 – £1,500,000 | 10% | 13% |
If you would have any questions in relation to the new stamp duty regulations, give us a call at Coppenwall Estate Agents.
