Budget 2021 has extended the stamp duty holiday for buyers until the end of June. If you are thinking of buying property in London, this gives you more time to take advantage of this incentive to afford a higher price for your new property.
It also means it’s a good time to invest as this incentive is available to buy-to-let landlords in London and across the country.
What is the “Stamp Duty Holiday”?
Stamp duty is a tax paid when purchasing a property and increases the price of property for the buyer. You can visit Gov.uk to calculate your Stamp Duty Land Tax (SDLT).
The stamp duty holiday was originally announced in July 2020 in response to the situation created by the coronavirus pandemic. It was due to end in March 2021 but has now been extended to the end of June.
Under the Stamp Duty Holiday:
- First-time buyers do not have to pay this duty on the first £500k of the purchase price and are only taxed on the value above this amount.
- Investors, buy-to-let landlords and other buyers can also avail of these reduced rates and thresholds.
How does this benefit buyers and investors in London?
It will be of most benefit to those who wish to buy or invest in property the London area, as property prices here are more likely to be near these new thresholds than in other areas.
This tax relief means that more of your investment goes into purchasing a property as opposed to being paid in tax. Coupled with the new 5% deposit mortgage scheme announced in the budget, you have more to spend on the property itself.
It also makes it a good time for investors. As well as the initial tax relief, it also highlights the continuing support by the government of the property market as they are offering the scheme to landlords and investors.
How can Henry Wiltshire help me take advantage of the incentive?
The thresholds that apply to this incentive mean that it will be of particular benefit to buyers and investors in London, where Henry Wiltshire are property experts with offices across the city.
As this is a time-limited government incentive, our expertise will help you to move quickly and efficiently to take advantage of it before it ends.
Call us today to beat the extended deadline.