- 14
- January
Stamp duty changes could affect you, if you are thinking of buying or selling!
In the Autumn statement George Osborne announced changes to stamp duty and the government published the consultation documents in late December.
The additional 3% stamp duty charges will come into force on properties which complete after 1st April 2016!
Lots of sellers think that the stamp duty changes won't affect them as it is a purchaser who pays stamp duty, but if you are selling a property and a purchaser is paying more tax to buy your property then they may potentially be reducing the amount they are prepared to pay you for the property.
Which property is affected?
Any residential property which sells for more than £40,000 could potentially fall into the additional stamp duty category.
Who will have to pay?
If the property is purchased as an additional property ( ie the buyer will have 2 or more properties) and the purchaser has not sold their previous main residence, they may have to pay 3% of the total purchase price, plus the current stamp duty rates.
Read the full guidelines here
What should I do if I am thinking of buying a second property?
If you are thinking of buying a property and you are not intending to sell your current main residence then you should be making sure that you have everything in place to complete before the 1st April otherwise you may have to pay the additional stamp duty. Check with your solicitor to see if you will be liable to pay the additional stamp duty.
I am thinking of selling and it is likely that a buyer would use the property as a holiday home or a rental property?
Consider putting your property onto the market now as there are buyers looking. To help sellers we have a special auction contract for our February Auction with a special sales fee. If you sell your property via the unconditional route your solicitor will prepare a legal pack and allow your buyer to exchange contracts immediately with completion within 28 days which should mean that the transaction goes through more quickly.
Contact the auction department on 0191 425 1509 for more information about selling at auction or speak to your local Pattinson branch.
Click here to arrange a FREE valuation