Stamp Duty Changes – Home Refurbishment Mayfair

Home Refurbishment Mayfair

From the 4th December stamp duty on home purchases have been reformed, so how will this effect/benefit us….

The previous stamp duty used to operate throughout the UK by charging successively higher rates on the whole purchase of a property, for example, someone who is purchasing a home which cost £250,000 would have had to paid £2500 (1%) however if the house cost £250,001 only £1 more they would have had to pay £7500 (3%).   For this reason it is commonly know as ‘slab tax.

So how will the new system work…. The new rates of stamp duty will only apply on the amount of the purchase price that falls within the specific duty band, making it more like income tax. For example, someone purchasing a house costing £200,000 will pay nothing on the first £125,000, then 2% on the remaining £75,000 giving them a bill of £1500 saving £500.

Although the percentages appear a lot higher in some cases, the overall change has lowered tax. According to George Osborne – 98% of homeowners within England and Wales will pay less compared to the old system.

However, this may not be the case for everyone (2% of homeowners), as buyers who wish to purchase a home worth more the £937,000 will end up paying more in tax now than they would before.

Stamp Duty - Home Refurbishment Mayfair

Stamp Duty – Home Refurbishment Mayfair

Ashville Inc can help you make your dream a reality. No matter whether you want to refurbish your home, extend it, change the interior design or the exterior layout, we’re on hand to help you make the desired changes. We work with a number of professional contractors and our decade within the industry has given us the contacts and the experience to be able to provide all of our clients with the best possible service. If you would like to find our more about the service that we offer, then don’t hesitate to contact our helpful office staff by ringing 020 7736 0355.

Home Refurbishment Mayfair