Autumn Budget 2017: Stamp duty axed for most first-time buyers
published on 04/01/2018
Following November's Budget announcement, ALL first-time buyers will now be exempt from paying stamp duty on the first £300,000 of homes worth up to £500,000.
This means on a home worth less than £300,000, you'll pay NO stamp duty.
Getting that first leg on the property ladder has been difficult in the past few years with deposits rising and lenders being more stringent. First time buyers seem to have no chance at all. This seems to be about to change.
So what's the new system for first-time buyers?
In England, Wales and Northern Ireland, the new stamp duty rates for first-time buyers buying properties costing up to £500,000 are as follows:
1. Up to £300,000 purchase price: 0% stamp duty
2. £300,000.01 to £500,000: 5% (on that portion of the purchase price only)
You won't benefit from any change and will be buying under the standard system, if you buy a first home costing more than £500,000. This applies to non first-time buyers too.
How much will first-time buyers save?
The maximum stamp duty saving that you can make under the new system, compared with standard rates, is £5,000. You'll make this saving if you're buying a property costing between £300,000 and £500,000.
It seems 2018 is looking up for first time buyers.