The government has announced a cut to stamp duty – the tax paid when people buy a property in England – which means you could save thousands of pounds when you move to a brand new Bewley home.
The government has changed the threshold at which stamp duty is paid on a property from £125,000 to £250,000.
In addition, the level at which first time buyers start paying stamp duty on a property has increased from £300,000 to £425,000.
How much is stamp duty now?
|Purchase Price||Stamp Duty %|
|£0 to £250,000||0% (Zero)|
|£250,001 to £925,000||5%|
|£925,001 to £1,500,00||10%|
A customer buying a £500,000 Bewley home will now be charged £12,500 of stamp duty rather than the previous £15,000
Presenting a significant saving of £2,500.
What if I’m a first-time buyer?
If you’re a first-time buyer of a Bewley home, you will pay no stamp duty on properties worth up to £425,000.
For properties costing up to £625,000, you will pay no stamp duty on the first £425,000.
You’ll then pay stamp duty at the relevant rate of 5% on the remaining amount, up to £200,000. If the property you’re buying is worth over £625,000, you will need to pay the standard rates of stamp duty and won’t qualify for first-time buyer’s relief.
For a complete breakdown of stamp duty tax, including for investors and customers with more than one property, visit the government’s website.