The government announced yesterday that it is abolishing stamp duty land tax for first time buyers purchasing homes up to a value of £300,000. If a property is purchased up to £500,000 there will only be stamp duty payable at 5% on the amount between £300,000 to £500,000. This change in stamp duty provisions is hoped to assist first time buyers to get on the property ladder.
It is worth noting that a first-time buyer is defined as someone who has never owned a freehold or leasehold interest in a residential property before and who is purchasing their only or main residence. If someone has owned a residential property anywhere in the world previously then they won’t be counted as a first-time buyer. All purchasers in a joint purchase must be first-time buyers to avoid having to pay stamp duty.
Our conveyancing team will guide you through the home buying process, including advising on any liability to pay stamp duty.