This bold move was announced as part of the chancellor’s emergency mini-budget to head off a feared explosion in unemployment as the coronavirus pandemic hits harder.
Stamp duty has been scrapped immediately for all homes under £500,000, to kickstart the housing market.
This is fantastic news to anyone buying a new home. As the stamp duty holiday applies from midnight last night, which means that anyone completing a purchase of a main residence today up until 31 March 2021 will get the benefit.
This could be worth nearly £15,000 for a property priced at just under the £500,000 top limit.
Homebuyers purchasing something pricier, for more than half a million pounds, will still get the benefit of the cut.
They have to start paying the duty at 5% for the amount paid above £500,000, rising to 10% and 12% for the most expensive homes.
But it still means they pay less than before. Of course, if you bought yesterday or earlier, it looks like you miss out.
The tax break is costing the Treasury £3.8bn, more than expected, partly because it is going on for nine months rather than the expected six months.
Turn savings into equity
What a fantastic move from Rishi Sunak and the British Government! This will help future-proof our local Rossendale property market, and help buyers achieve their dream home!
Take a look at properties listed on the market in Rossendale with Coppenwall Estate Agents. https://coppenwall.com/hub/properties/
If you are thinking of putting your property on the market and would like a property valuation then get in touch with the team @ Coppenwall.