In a major relief to first-time house buyers in the UK, the government has announced the abolishing of stamp duty land tax (SDLT) for residential properties priced up to £300,000. A partial discount on SDLT is applicable for properties priced between £300,000 and £500,000 for first-time buyers.
The Autumn Budget document for 2017 clearly states: “In Stamp duty land tax – the government will permanently raise the price at which a property becomes liable for SDLT to £300,000 for first-time buyers to help young people buy their first home. The relief will not apply for purchases of properties worth over £500,000. 95% of first-time buyers that pay SDLT will benefit, up to a maximum of £5,000, and 80% of first-time buyers will pay no SDLT at all.”
At present, first-time buyers account for a bulk of the prospective residential property buyers in the UK, especially London. Majority of them are not even able to climb up the property ladder in view of the price inflation. They are depending on Bank of Mum and Dad for deposits. The government wants more young people in the property network and this announcement is certainly a great relief.
Brand new residential developments – Bronze in Wandsworth and Greenview Court in west London – by Strawberry Star are specifically targeted at first-time buyers. If you want to take advantage of the government’s decision, connect with our property consultants by calling our London office to understand the deals.
The government will permanently raise the price at which a property becomes liable for SDLT to £300,000 for first-time buyers to help young people buy their first home.