The Chancellor’s recent mini-budget announcement saw the introduction of a temporary stamp duty holiday for all homebuyers. A radical move set to save homebuyers thousands of pounds and give the property market a well-needed boost. Purchasers will not have to pay stamp duty on properties up the value of £500,000 until 31st March 2021.
The new changes will benefit a whole spectrum of buyers from first time buyers, second steppers, downsizers through to investors. With savings of up to £15,000, those looking for a new home will be able to put the money they would have spent on stamp duty towards their deposit or furnishings. This is especially helpful for first time buyers; whilst they wouldn’t have had to pay stamp duty on a property up to £300,000 previously, the savings now mean they may be able to get a bigger property than first thought. Second steppers and downsizers are also winners; under normal circumstances they would have had to pay full stamp duty on their new home, but with the newly-introduced stamp duty holiday, they will now only have to pay stamp duty on the amount over £500,000. Investors will also benefit. For properties under £500,000, they will only need to pay 3% tax on top of the purchase, instead of the previous 5%.
At Inland, not only will all of our homes benefit from the increased threshold, but we are also proud to offer the Help to Buy scheme on all of our properties, providing buyers with extra support to become homeowners. The Government lends up to 20 percent of the cost of the purchaser’s newly built home up to £600,000, meaning only a five percent cash deposit and 75 percent mortgage is required to make up the rest.
Our newest development Venue, in vibrant Maidenhead, is somewhere that buyers will be able to take advantage of paying no stamp duty. All of the homes are priced under £500,000 meaning stamp duty will not need to be paid. For a two-bedroom apartment priced at £400,000, first-time buyers will make a stamp duty saving of £5,000, whilst a second stepper will save a staggering £10,000 at 2.5%.
And it’s not just our properties closer to London that will benefit from the temporary holiday. On the South Coast at Chapel Riverside, all of the properties are priced under the threshold with starting prices between £195,000 and £290,000, including the luxury waterside properties. With all apartments available to purchase without stamp duty, buyers with a lower budget will find that owning a waterfront home is made even more accessible for them.
At our developments Randalls in Uxbridge and The Wessex in Bournemouth, Centre Square in High Wycombe and Meridian Waterside in Southampton, buyers will be able to benefit from the stamp duty holiday until the end of March.
For more information on our developments, visit www.inlandhomes.co.uk.
*No stamp duty to pay up to £500,000 of the property purchase price for single property homeowners, as per the government SDLT initiative ending 31st March 2021. Stamp duty will apply to properties over the value of £500,000. Investors and additional property owners will also benefit. For properties under £500,000, they will only need to pay 3% tax on top of the purchase, instead of the previous 5%.