New stamp duty rules in England could save UK households £5,119 …
According to a recent report, the new stamp duty rules in England could save UK households a significant amount of money. The changes, which came into effect on March 1, 2021, aim to reduce the burden on first-time buyers and help them get onto the property ladder.
How do the new rules work?
The new rules introduce a new tiered system, with a 2% surcharge on properties worth over £1 million. This means that buyers of properties worth over £1 million will pay an additional 2% in stamp duty, on top of the existing rates.
What does this mean for first-time buyers?
The changes are expected to benefit first-time buyers, who will no longer have to pay the 3% surcharge on properties worth up to £300,000. This could save them thousands of pounds in stamp duty costs.
“This is a major win for first-time buyers,” said a spokesperson for the government. “We are committed to helping people get onto the property ladder and these changes will make it easier for them to do so.”
What about second-time buyers?
Second-time buyers will also benefit from the changes, as they will no longer have to pay the 3% surcharge on properties worth up to £500,000. This could save them thousands of pounds in stamp duty costs.
What about properties worth over £1 million?
Buyers of properties worth over £1 million will pay an additional 2% in stamp duty, on top of the existing rates. This could add thousands of pounds to the cost of the property.
Conclusion
The new stamp duty rules in England are expected to benefit first-time buyers and second-time buyers, who will no longer have to pay the 3% surcharge on properties worth up to £500,000. However, buyers of properties worth over £1 million will pay an additional 2% in stamp duty, on top of the existing rates.
“We are committed to helping people get onto the property ladder and these changes will make it easier for them to do so,” said a spokesperson for the government.
What do you think about the new stamp duty rules?
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