Following, the government announcement today, property purchasers in Northern Ireland will be delighted to hear that for a temporary period no Stamp Duty is payable for purchases up to the level of £500,000. This Stamp Duty threshold increase is applicable for all purchases completing between Wednesday 8th July and the 31st March 2021.
This changes the level from £125,000 (or £300,000 for first-time buyers) to £500,000.00 for people who are moving home.
As Stamp Duty is tiered, stamp duty saving will also apply for properties over £500,000.00;-
A Property price of £600,000
0% on the first £500,000; 5% on the next £100,000
total stamp duty now payable of £5,000
So a saving of £15,000.00
If you are purchasing a second home or an investment property, then there are also savings on the basic level of Stamp Duty (however the 3% penalty will still apply).
An investment property / second home of £250,000,
3% on the full purchase price of £7,500.00
So a saving of £2,500.00.
For more information contact our Property Team.