The Chancellor announced a temporary holiday on stamp duty on the first £500,000 of all property sales in England and Northern Ireland, to support the housing market during the COVID-19 Pandemic.
The Stamp Duty tax threshold has been temporarily raised until 31 March 2021, so, if you are considering selling your property and you want to save £1000’s then you need to put your property on the market before Christmas, and this is why.
It usually takes just under 100 days between agreeing a sale and completing, and research from Zoopla shows that 92% of all sales agreed in November typically complete by the end of March the following year and this figure drops to 54% for sales agreed in January, and 17% in February.
Anyone completing on their main residence, costing up to £500,000 before the 31st March, will not pay any stamp duty, while more expensive properties will only be taxed on their value above £500,000.
So, house buyers could save as much as £15,000, if they are buying a property of £500,000 or more.
Who is eligible?
Anyone who completes on a property purchase before the 31st March 2020 will benefit from the stamp duty holiday and won’t pay any stamp duty, provided the property is their main residence, it is located in England or Northern Ireland and costs £500,000 or less.
Landlords and second home buyers are also eligible for the stamp duty holiday but will still have to pay the extra 3% of stamp duty they were charged under the previous rules.
John Ascroft, Director at Home Truths said: “If you leave it to January to start your search for a home, you will be cutting it fine.
“Half of all sales agreed in January will complete by the end of March, so if you are looking to beat the stamp duty deadline, you need to be preparing to bring your home to the market now.”
With savings of up to £15,000 on offer, there has never been a better time to move. Get in touch today on 01257 451673 or email firstname.lastname@example.org and let us help you get moving.