Stamp Duty Land Tax (SDLT), or more commonly called Stamp Duty, will be changing for properties which complete after the 1st April 2025. For most the increase will be paying 2% duty on the purchase price between £125,001 and £250,000 which, for those buying a property over £250,000, equates to a £2,500 increase. As the average sale price in the Cotswolds is above £250,000, this will apply to most and applies if you are a buying a main home, a second home or investment property.
The impact is greatest with first time buyers who have access to lower rates if purchasing a property below the value of £625,000. This threshold is being dropped to £500,000, therefore fewer first-time buyers will be able to claim the relief. In addition, the level at which a first-time buyer starts paying the tax drops from £425,000 to £300,000. If a first-time buyer is lucky enough to be buying a property at £600,000 then their liability would increase from £8,750 to £20,000 from 1st April 2025 – a substantial 2.3 times increase.
Please give the team at Hayman-Joyce a call if you’d like to chat with us about Stamp Duty and anything else related to the property market – we’re happy to help.