Stamp duty holidays have proven to provide valuable financial support to homebuyers during the Covid-19 pandemic. Still, homebuyers in Britain have been urged to act fast as demand could mean they could miss out on the March 2021 deadline.
The cuts in Stamp Duty costs have been a key topic of conversation for many homeowners across Britain, as Chancellor Rishi Sunak granted a holiday on the tax due to the ongoing COVID-19 pandemic, potentially saving thousands for UK buyers.
Previously in England, stamp duty kicked in at £125,000 (or £300,000 for first-time buyers) and £180,000 for homebuyers in Wales. The new Temporary Stamp Duty cuts mean that the government has raised the threshold in England to £500,000, and in Wales it has been raised to £250,000, both at a rate of 5%.
The Stamp Duty holiday has been particularly popular with homebuyers in Britain, with 140,000 more buyers currently waiting to complete their property transactions than a year earlier. This high demand also saw UK house prices jump again in September by three per cent year on year.
The figures behind the current Stamp Duty show that between July and September, UK property transactions rose by more than a quarter (27 per cent). September even saw the highest number of mortgage approvals recorded in the UK since September 2007. New research from Legal & General Mortgage Club has shown that movers need to have started their home buying journey by November to be in with a chance of completing by the Stamp Duty deadline.
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