Stamp Duty Rates
With the current rate if you purchased a home for £200,000 you would pay £1500 in stamp duty.
How does it work?
The current system is much fairer than the previous one, in that you only pay the band rate for the amount of your property that falls into that band – just like the 10%, 20% and 40% you pay in income tax on different parts of your wages. As the table shows, you pay no Stamp Duty on the first £125,000 of value, then 2% on anything between £125,001 and £250,000, 5% on anything between £250,001 and £500,000 and so on.
Since these rates were introduced in 2015 thousands of pounds off the cost of moving into a brand new Redrow home, making that dream more affordable for thousands of homebuyers. And when it’s combined with Help to Buy, requiring just a 5% deposit, it means moving home now costs much less than you think!
For full details, contact the friendly sales team at your nearest Redrow development today, and see just how easily, and affordable, it could be for you to buy a brand new Redrow home.
Stamp Duty changes in Wales
From April 2018 UK Stamp Duty Land Tax is expected to change to Land Transaction Tax in Wales. Although the particulars are yet to be confirmed it is likely to work similarly to Stamp Duty.
Stamp Duty operates in bands according to property value and only applies to properties over £125,000. It has not yet been announced whether or not these bands will alter for Welsh properties when the Land Transaction Tax is introduced.
The bill to make this move has been created and is expected to progress in spring 2017 so if you are planning to purchase property or land in Wales in the next two years it’s worth taking this into account.