20 Jun Stamp Duty Timeline
As it has been widely reported in the national and industry news, the Stamp Duty Holiday is coming to an end on 30th June 2021. While there are still hundreds of thousands of buyers trying to complete in time to take maximum advantage of the savings, the Stamp Duty Holiday is actually changing rather than coming to an abrupt halt at the end of the month.
We’re going to take a look at some of the key dates you need to keep in mind if you are looking to buy and sell your property in the coming weeks. If you’re looking for a property in the area, make sure you give the leading estate agents in Colnbrook a call on 01753 683000 or email us and we’ll help you find your next home.
Changes to Stamp Duty Rates
The Stamp Duty Holiday meant that the tax did not apply to first-time buyers and home movers on purchases of properties below £500,000 before the end of June; this means that buyers could save up to £15,000 on their transaction.
Initially the holiday was supposed to finish at the end of March 2021, but was extended by the Chancellor of the Exchequer in order to provide a much-needed and continuing boost to the property market and, by proxy the economy. It also enabled those who were mid-way through a transaction at the end of March to still benefit from the maximum saving.
The extension and subsequent ratcheting down of the savings will last until the end of September with the Stamp Duty rates returning to normal on October 1st 2021. That means that from July 1st the nil-rate band will be lowered from £500,000 to £250,000.
Stamp Duty Holiday Key Dates
It’s been a phenomenal initiative by the government to encourage people to get moving and boost the economy after the devastation of the Covid-19 pandemic. We have been inundated with first-time buyers and home movers aiming to move as quickly as possible and were delighted to hear the news that the holiday would change rather than stop. These are some of the key dates
8th July 2020: Stamp Duty Holiday announced as a temporary measure to stimulate the economy. Nil-rate threshold changed from £125,000 to £500,000 until March 31st 2021.
3rd March 2021: Chancellor delivers Spring Budget speech announcing an extension to the initiative in order to complete the unprecedented number of purchases in progress. Scheme extended until 30th June 2021 with nil-band rate lowered to £250,000 from 1st July to 30th September 2021.
30th June 2021: Property transaction must complete on or before this date to take advantage of the maximum stamp duty savings.
1st July 2021: From this date the nil-rate threshold for stamp duty will be on the first £250,000 of the purchase price for buyers of a main home in England and Northern Ireland.
30th September 2021: Property transaction must complete on or before this date to take advantage of the stamp duty holiday savings.
1st October 2021: Stamp Duty rates return to pre-Covid-19 rate of £125,000 for home movers and £300,000 for first-time buyers.
If you are looking to move to this are, we are the leading independent estate agents in Colnbrook and are location experts. So, contact us on 01753 683000 or email us. You can also follow us on Facebook, LinkedIn and Instagram.