The stamp duty holiday, introduced by the Government in July last year, is soon coming to an end.
Under the scheme, between 8 July 2020 and 31 March 2021, stamp duty is ONLY paid when the purchase price of a property exceeds £500,000.
On 1 April 2021, the threshold will revert to a purchase price of £125,000.
The rate of stamp duty depends on where in the UK you’re buying a property and its price.
On top of this, anyone purchasing an ‘additional’ residential property will be charged a 3% surcharge on each of the threshold bands.
However, a parliamentary e-petition calling for a six-month extension has so far been signed by more than 100,000 people, meaning the topic will be addressed in the House of Commons.
If the tax break ends at the end of March, as anticipated, property experts expect a slowdown in sales completions following buyers rush to beat the stamp duty deadline at the beginning of 2021.
Would you like an extension to the stamp duty holiday?
If you’re concerned about how this might affect your ability to buy a house this year, give us a call to discuss your options:
Mortgage Advisor, Belfast