New Year legal health check
THB Solicitors urges families to start the New Year with a legal health check...- 20 December 2024
Please answer each of these questions with an appropriate value. All the answers are needed before a quotation can be calculated.
Please enter the price the property is being sold at, using just the numbers and whole pounds, ie with no currency symbols and no commas to separate the thousands.
Click in either of the circles against Freehold or Leasehold to show the tenure of the property. If you aren’t sure, select Freehold and mention this to us later.
Click on the down arrow against the Number of Selling Parties box then select how many people own (jointly or in common) the property. The answer makes no difference to the quotation but is needed later on in the process.
Once you’ve entered values for each item please click on Get Quote.
Please answer each of these questions with an appropriate value. All the answers are needed before a quotation can be calculated.
Please enter the price the property is being purchased for, using just the numbers and whole pounds, ie with no currency symbols and no commas to separate the thousands.
Click in either of the circles against Freehold or Leasehold to show the tenure of the property. If you aren’t sure, select Freehold and mention this to us later.
Click on the down arrow against the Number of Purchasing Parties box then select how many people want to buy (jointly or in common) the property. The answer can affect some aspects of the quotation such as Bankruptcy Searches, and is also needed later on in the process.
Then click on the down arrow against the boxes for county and area to tell us the county and local authority area. If you select one of the named counties and areas the quote will include the accurate charge figures, but if you choose another we’ll include a representative average figure for the charges and the amount you actually pay could be more or less than this.
Once you’ve entered values for each item please click on Get Quote
First-time buyers purchasing a property up to £500,000 will not pay stamp duty on the first £300,000 and 5% from £300,000-£500,000.
A first-time buyer is defined as someone who has never owned a freehold or leasehold interest in a dwelling before and who is purchasing their only or main residence. Residential property anywhere in the world is counted when determining whether someone is a first-time buyer.
All purchasers in a joint purchase must be first-time buyers to be eligible for the relief.
On April 1st 2016 HM Treasury introduced higher rates of Stamp Duty Land Tax (SDLT) on purchases of additional residential properties – the rates for additional properties are 3% higher than they are for the purchase of first or main residences. In both cases, SDLT is charged on the portion of the value of the property that falls into each band (the same method used for income tax).
| Band | SDLT rate (FIRST or MAIN Residence) | SDLT rate (ADDITIONAL residence |
|---|---|---|
| £0* – £125k | 0% | 3% |
| £125k – £250k | 2% | 5% |
| £250k – £925k | 5% | 8% |
| £925k – £1.5m | 10% | 13% |
| £1.5m + | 12% | 15% |
*Transactions under £40,000 do not require a tax return to be filed with HMRC and are not subject to the higher rates.
A full explanation can be found on the government website.
I’m helping my child buy their first property – do the higher rates apply to them?
No – provided the property is purchased in their name and it is their first property the lower rates of SDLT apply (regardless of the fact that you might have given them money to help with the deposit or acted as guarantor to their mortgage). However, it’s important that the property is exclusively in their name – if it is owned by you for their benefit or owned by you both jointly then the higher rate of SDLT would apply.
I am moving but have not yet sold my main residence – do the higher rates apply to me?
Yes – the purchase of an additional property will attract the higher rates of SDLT but you can get a refund for the difference provided you sell your main (or first) residence within 18 months.
I’m buying my first property but it’s “buy-to-let” – do the higher rates apply to me?
No – if you (and your spouse/partner) only own one property then the lower rates apply even if you plan to let the property.
I’m buying a second property as “buy-to-let” – do the higher rates apply to me?
Yes – if you already own a property then any further properties will be subject to the higher rates.
I sold my primary residence last year – do the higher rates apply to me?
No – if you sold your primary residence within the last 18 months then you can purchase another property to be your primary residence at the lower rates regardless of whether or not you own other properties.
I’m moving to a new home but renting my old one – do the higher rates apply to me?
Yes – the result is that you own two properties so the purchase of the new property will attract the higher rates of SDLT (regardless of the fact that it is to become your main home).
I already own a property jointly with a friend but am buying another property – do the higher rates apply to me?
Yes – the result is that you own two properties so the purchase of the new property will attract the higher rates of SDLT (regardless of whether or not you make it your main home).
I’m buying my first property but jointly with a friend who already owns a property – do the higher rates apply to me?
Yes – the result is that your friend owns two properties so your purchase of the new property will attract the higher rates of SDLT (regardless of the fact that it is your first property).
I already own a property overseas – do the higher rates apply to me?
Yes – if you already own a property overseas then any property you buy in the UK will be subject to the higher rates.
My spouse (or civil partner) owns a property – does that affect me?
Yes – as far as the test is concerned you and your spouse or civil partner are treated as one entity. If they already own a property then your purchase will be deemed to be an additional property and be subject to the higher rates of SDLT.
Can I avoid the higher rates if I purchase in the name of a company?
No – any property purchased by a company will be subject to the higher rates of SDLT (even if the company does not own any other property).
Please answer each of these questions with an appropriate value. All the answers are needed before a quotation can be calculated.
Please enter the price the property is being sold at, using just the numbers and whole pounds, ie with no currency symbols and no commas to separate the thousands.
Click in either of the circles against Freehold or Leasehold to show the tenure of the property. If you aren’t sure, select Freehold and mention this to us later.
Click on the down arrow against the Number of Selling Parties box then select how many people own (jointly or in common) the property. The answer makes no difference to the quotation but is needed later on in the process.
Once you’ve entered values for each item please click on Get Quote.
Please answer each of these questions with an appropriate value. All the answers are needed before a quotation can be calculated.
Please enter the price the property is being purchased for, using just the numbers and whole pounds, ie with no currency symbols and no commas to separate the thousands.
Click in either of the circles against Freehold or Leasehold to show the tenure of the property. If you aren’t sure, select Freehold and mention this to us later.
Click on the down arrow against the Number of Purchasing Parties box then select how many people want to buy (jointly or in common) the property. The answer can affect some aspects of the quotation such as Bankruptcy Searches, and is also needed later on in the process.
Then click on the down arrow against the boxes for county and area to tell us the county and local authority area. If you select one of the named counties and areas the quote will include the accurate charge figures, but if you choose another we’ll include a representative average figure for the charges and the amount you actually pay could be more or less than this.
Once you’ve entered values for each item please click on Get Quote
Please answer each of these questions with an appropriate value. All the answers are needed before a quotation can be calculated.
Enter the Amount of mortgage required on the property, using just the numbers and whole pounds, ie with no currency symbols and no commas to separate the thousands.
Use the drop-down list for Number of Parties and select how many people (jointly or in common) want to remortgage the property (the answer makes very little difference to the quotation but is needed later on in the process).
Use the drop-down box for county and area to tell us the county and local authority area. If you select one of the named counties and areas the quote will include the accurate charge figures, but if you choose another we’ll include a representative average figure for the charges and the amount you actually pay could be more or less than this.
Once you’ve entered values for each item please click on Get Quote
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