Changes to Stamp Duty announced this week are excellent news for those planning to buy an investment property at our July auction.
Chancellor Rishi Sunak has removed Stamp Duty for those buying a main home up to £500,000 and reduced rates for those purchasing a second home until next April.
This means some second home buyers and buy-to-let investors will benefit from a temporary stamp duty cut.
Those buying investment properties and homes that are not their main residence will now pay 3% stamp duty on the first £500,000 of the purchase price. Previously they would pay 3% on the first £125,000 and 5% on the next £125,001 to £250,000, rising to 8% on sale prices over £250,000 and up to £925,000.
In our July auction, this would mean that a buyer purchasing Belmont Road as a second property for the guide price of £320,000 will now pay £9,600 in Stamp Duty compared to £15,600 previously – a saving of £6,000.
If you are buying at our July auction as a primary residence, you will pay no Stamp Duty at all.
Further information on temporary reduced rates for Stamp Duty can be found on the government website.
A reminder that our July auction will be held online. You will need to pre-register to bid.
Find out more here.