Stamp duty holiday – Everything you need to know
Posted by Guardhog Team on April 29, 2021 · Blog
The stamp duty holiday for England and Northern Ireland has been extended till the 30th June, with tax suspended on the first £500,000 of all property sales.
What is the stamp duty holiday?
The Government has extended the stamp duty deadline as an incentive to boost the housing market due to the effect of COVID on property purchases and the financial hit that buyers took as a result of the pandemic.
Buyers previously had to pay £15,000 of the home’s value to the government, with tax usually only being paid on the first £125,000.
From 30th June to the end of September, there will be a staggered return to the previous stamp duty rates, with buyers not having to pay any stamp duty on the first £250,000 of the purchase price (rather than the £500,000 currently).
From the 1st of October 2021, stamp duty rates are due to return back to normal and will be as follows:
- £0-£125,000 = 0%
- £125,001-£250,000 = 2%
- £250,001-£925,000 = 5%
- £925,000-£1,500,000 = 10%
- £1,500,000+ = 12%
Use the government’s Stamp Duty Land Tax (SDLT) calculator to work out how much your stamp duty will cost.
What help do first-time buyers get?
It’s also good news for first-time buyers because you will not have to pay any stamp duty on property purchases up to £300,000. This is available to anyone buying a home costing up to £600,000.
First-time buyers can also take advantage of the 95% government mortgage. You can find out more information in our blog post: New 95% mortgage scheme for first-time buyers launched by government.
How we can help at GUARDHOG
Buying your first home is a momentous life event. Making sure that you have the right protection in place to protect that home is crucial. We know that choosing an insurance provider is no easy task, especially for the first time.
Here at GUARDHOG, we pride ourselves on our personal service and the fact that our team has a wealth of knowledge to help you make the right decision when it comes to getting the best and most affordable cover.
We have an insurance panel of over 10 providers, so we can offer you a really competitive price. Some of our insurers also offer discounts for first-time buyers.
Our friendly experts are always on hand to answer all of your questions and queries, whether by phone or email, and you will always have a direct line to an actual human being. So no automated emails or being put on hold for 4 hours.
Get a HOUSEHOLD quote below, and a member of our team will get back to you with your quote as quickly as possible!