As from today, the 4 December 2014, new reforms are coming into place concerning stamp duty in the UK, enabling property buyers to benefit from a much fairer system; people buying at the bottom end of the market will benefit by paying less and those buying above the 2.1 million mark will need to pay more.
The new system will enable house buyers to pay nothing in stamp duty until they go over the £125,000 price bracket, so for example if you bought a house for £350,000 you would have had to have paid £10,500 in stamp duty where as under the new system a home buyer will only need to pay just under £6,500 giving them a saving of £4,000 under the new rules.
Under the new rules you will have to pay the following stamp duty charges:
- £0 to £125,000 - No tax
- £125,001 to £250,000 - 2% tax
- £250,001 to £925,000 - 5% tax
- £925,001 to £1,500,000 - 10% tax
- £1,500,001 and over - 12% tax
If you are in the process of buying your property at the moment the government has said you will be able to choose between the old system or the new stamp duty system.
If you are in the process of buying a property in Surrey, or are currently looking to buy a property and would like to discuss these reforms in more detail then why not pop into your local branch of Goodfellows for a chat and a coffee or alternatively call us on 0845 3727070.