How will the SDLT reduction help you move?
SDLT is made up of different ‘bands’, the first being a nil rate. This means that you usually do not pay SDLT on the first £125,000 of the value of your new home.
In August 2020, the UK Government announced that the nil rate band would apply to the first £500,000 of the value of your new home. This change was supposed to come to an end at the end of March 2021, but it has now been extended until 30 June 2021.
How much could you save if you move by the end of June?
You can currently save up to £15,000 through the temporary cut to SDLT announced by the Government, meaning that buying your dream Cala home could be more attainable than you think.
The savings below are based on a UK resident non-first time buyer, purchasing in England, with no other properties.
If you're buying an additional property you will still benefit from the changes to SDLT, but you will pay 3% on top of the standard rate.
First time buyers will also benefit, but for your first home purchase, the nil rate band is ordinarily £300,000, so the saving is less.
How will the Stamp Duty relief change after June?
After June, the SDLT nil rate band will reduce to £250,000 until September 30 2021. So, if you purchase a home under £250,000, you will pay no SDLT.
The savings below are based on a UK resident non-first time buyer, purchasing in England, with no other properties.
If you're buying an additional property you will still benefit from the changes to stamp duty, but you will pay 3% on top of the standard rate.
First time buyers will also benefit, but for your first home purchase, the nil rate band is ordinarily £300,000.
Stamp Duty from October 2021.
After September, the nil rate band goes back to its usual level of £125,000 for home movers and £300,000 for first time buyers.
Use the Government’s Stamp Duty Calculator to find out how much SDLT you will pay.
