Stamp duty has been a much-hated tax for Brits on the property ladder. However, a new measure has been introduced which could save house hunters thousands.
Chancellor Rishi Sunak recently announced a stamp duty holiday on property purchases up to £500,000- meaning you won’t have to pay a penny in tax on properties under this threshold.
Here is everything you need to know about the stamp duty holiday- including some houses for sale in Bolton which are currently under the threshold.
What is stamp duty?
Previously, property owners had to pay tax on all property over £125,000- or £300,000 for first-time buyers.
Property between £125,001-£250,000 would be taxed by 2%, £250,001 to £925,000 by 5%, £925,001 to £1.5 million by 10%, and anything above £1.5 million by 12%.
Under the new measures, properties under £500,000 won’t be taxed at all.
You pay 5% on £500,000 to £925,000, 10% on £925,000 to £1,500,000, and 12% above £1,500,000.
1/ I have decided today to cut stamp duty.
— Rishi Sunak (@RishiSunak) July 8, 2020
Right now, there is no stamp duty on transactions below £125,000 (or £300,000 for first-time buyers). I am increasing the threshold to £500,000. #PlanForJobs pic.twitter.com/DN3UnOJd1u
This change was announced by Rishi Sunak last week (8 July), in an attempt to help the UK economy bounce back from the coronavirus pandemic.
5 Bolton properties which are under the current stamp duty threshold
Regent Drive, Lostock
Price: £499,950
This Bolton property has five bedrooms, five bathrooms and three reception rooms- and you can get it without paying any stamp duty.
Previously, first time buyers would have had to pay £9,997 in stamp duty, while those looking for their next home would have been forced to shell out £14,997.
Learn more about this property on Zoopla.
Vale Coppice, Horwich
Price: £495,000
This property is described as a “suberb six bed family home”, with an open plan kitchen and a sun room.
First time buyers save £9750 while those looking for another home will save £14,750 in stamp duty.
You can find this property on Zoopla.
Stockmar Grange, Heaton
Price: £480,000
Looking for a four bed semi-detached Bolton property? Then this house could be for you.
This property is “much larger than expected”, with an open plan kitchen and multi en-suite facilities.
If you’re interested in the property, you can find it at this website.
Waterslea Drive, Heaton
Price: £490,000
This four bedroom house is £10,000 under the current stamp duty threshold.
It has two “luxury” bathrooms and has been beautifully decorated by the previous owners.
As a first time buyer, you save £9,500 and if you are buying your next property you save around £14,500.
If you are interested in the property, you can find it on Zoopla.
Mayfair, Horwich
Price: £450,000
If you are looking for a four bed home in Horwich, you can buy this one without spending a penny in stamp tax.
The property is newly extended and refurbished with an integral double garage.
First time buyers save £7500 in stamp duty tax, while those purchasing their next home save £12,500.
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