This is an important reminder for all property purchasers of the changes to the threshold of Stamp Duty Land Tax (SDLT) commencing on 1st April 2025.
The standard residential SDLT nil-rate band will drop from £250,000 to £125,000 for those chain movers buying their next main place of residence, meaning buyers will pay tax on properties over £125,000.00. First-time buyers will see their nil-rate band reduced from £425,000 to £300,000. Therefore, if you are a First Time Buyer, you will pay tax on any property over £300,000.00.
There is no doubt that the impact will be significant with all buyers across the board facing higher tax liabilities on their purchases, with SDLT being payable within 14 days of the completion date. Navigating these new SDLT changes is crucial to making informed property decisions that’s right for you. Whether you’re a first-time buyer, an investor, or planning to move along the property ladder, it’s important to legally understand the changes commencing on 1st April 2025, as well as being prepared financially.
We would encourage all property purchasers to contact their solicitor, as well as seeking independent financial advice, in order to navigate these changes with confidence. If you are buying a property, please do not hesitate to contact the team O’Reilly Stewart Solicitors who would be glad to assist and provide legal guidance on the SDLT changes.