Stamp Duty Reductions could save Shropshire Homes Buyers Thousands

Stamp duty cuts!
30th September, 2022

Stamp Duty Reductions could save Shropshire Homes Buyers Thousands

Last week, the government announced changes to Stamp Duty, which could save home buyer’s thousands. With the rise in energy prices, there has never been more of a need to use the cost of Stamp Duty elsewhere. However, when you buy your new dream home from Shropshire Homes, you won’t need to worry about spending the money you’ve saved from Stamp Duty reductions on energy costs, because when you buy new your energy bills are up to 50% cheaper anyway (based on HBF’s 2022 findings)!

What do the changes mean?

Below is a table that explains the % Stamp Duty you pay (if any) compared to the purchase price of your new home.

Purchase Price

Stamp Duty %

£0 to £250,000

0% (Zero)

£250,001 to £925,000

5% 

£925,001 to £1,500,000

10%

Over £1,500,000

12%

First time buyers

If you are a first timer buyer, this changes things and you do not pay any Stamp Duty until your purchase price is over £425,001.

Purchase Price

Stamp Duty %

£0 to £425,000

0% (Zero)

£425,001 to £625,000

5% 

Investors

If you are an investor or already own more than one property, you will need to pay the following:

If you are buying an investment property or an additional home, the following rates will apply to your purchase:

Purchase Price

Stamp Duty %

£0 to £125,000

3%

£125,001 to £250,000

5%

£250,001 to £925,000

8%

£925,001 to £1,500,000

13%

Over £1,500,000

15%

Examples:

Based on effective date of transaction as 01.10.22, only owning one property, using it for residential purposes and having previously owned a property, if you purchased the Grasmere at Crudgington (plot 45) for £362,500, you would pay £5,624.95 of Stamp Duty.

Based on effective date of transaction as 01.10.22, being a first-time buyer and using it for residential purposes, if you purchased any of our apartments at Quarry Place, you would pay £0 Stamp Duty.

 

To find out more, we advise visiting: https://www.gov.uk/stamp-duty-land-tax/residential-property-rates