Stamp Duty Holiday & Extension
In the March 2021 Budget, the Government announced that it will be extending the Stamp Duty Holiday. We look at what this means and how it can help you move to your new home at West Park Garden Village.
What is Stamp Duty
Stamp Duty or Stamp Duty Land Tax is a tax paid on the purchase of property or land in England and Northern Ireland.
What does a Stamp Duty holiday mean?
The tax has been suspended on the first £500,000 of all property sales in England and Northern Ireland since July. This means that no stamp duty will be required on any Bussey & Armstrong new homes at West Park Garden Village.
How long will the stamp duty holiday last?
The tax break was due to end on 31 March, but Mr Sunak announced in the Budget that it will now end on 30 June.
After this date, the starting rate of stamp duty will be £250,000 until the end of September. Stamp duty will then return to the usual level of £125,000.
How much is Stamp duty?
If the property purchased is your main home - and the sale is completed before 30 June - you won't pay any stamp duty at all if it costs £500,000 or less. Due to covid and high demand at West Park, we advise sales should be completed as early as possible to avoid missing out.
Why does this help?
The move was aimed at helping buyers who might have taken a financial hit because of Covid. It could save them as much as £15,000, if they were buying a property of £500,000 or more.
It was also intended to boost a property market hit by lockdown, which had seen house prices fall for four months in a row.
Are there other ways to save?
The chancellor also announced a new "mortgage guarantee" in the Budget.
Starting in April, the government will provide a guarantee to lenders who offer mortgages to people with a deposit of just 5% on homes with a value of up to £600,000.
Lloyds, NatWest, Santander, Barclays and HSBC will be offering 95% mortgages from April, with other lenders expected to launch products later.
For more information on the Mortgage Guarantee scheme please click here
For more information about The Stamp Duty Holiday please contact our sales office.