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Stamp Duty Cuts Good News for Buyers and Sellers
Friday, September 23, 2022
In his mini budget today, Chancellor Kwasi Kwarteng confirmed a permanent cut in Stamp Duty, by raising the thresholds before which the property tax is paid. For home buyers, the point at which Stamp Duty is charged doubles from £125,000 to £250,000 while the threshold for first time buyers increases from £300,000 to £425,000. The chancellor also increased the value of the property on which first-time buyers can claim stamp duty relief from £500,000 to £625,000.
The changes will lower stamp duty costs for all buyers by up to £2,500 with first-time buyers able to benefit by up to £11,250. It is estimated that as a result, 200,000 homebuyers each year will avoid paying the tax altogether. "Home ownership is the most common route for people to own an asset, giving them a stake in the success of our economy and society," Mr Kwarteng told the Commons, "This is a permanent cut to stamp duty, effective from today. Cuts to Stamp Duty will get the housing market moving and support first time buyers to put down roots”.
Good news for buyers, then and for vendors this is another factor making it a good time to market their properties. Strong demand for property and robust pricing will be further boosted by this assistance for buyers in the months ahead.
For more information, a FREE market appraisal of your property, and professional advice please contact your local Frost office.
