STAMP DUTY INCREASE IN 2025 - HIDDEN IN BUDGET
An increase in the amount of stamp duty on all properties over £125,000 was in the small print of the Budget and could cost you thousands! The increase could be as much as £11,250 for first time buyers! Read our blog to see if moving next year will cost you more.
It is widely known that the Chancellor has increased, with immediate effect, Stamp Duty for those buying second homes from an additional 3% to 5% but what wasn’t mentioned was the decrease in stamp duty bands coming into effect on 1st April 2025. Hidden in the small print was a note that the Stamp Duty ‘saving’ introduced in 2022 by increasing the brackets would not be continued after 31st March 2025.
How much more will moving in 2025 cost?
The change in the Stamp Duty bands will mean an increase in Stamp Duty of a minimum increase of £2,500 on any property sold at £250,000 or more. My table below shows the change in Stamp Duty will have on your pocket if you complete on a property after 31st March 2025.
First time buyers are the worst hit with those buying at £450,000 being charged £6,250 more in Stamp Duty and if a first time buyer is lucky enough to be buying at £625,000 they would be charged £11,250 more!
If you are looking to move in 2025 I recommend you start the process NOW to give yourself the best chance to avoid this hidden tax increase but, also factor the higher rate into your calculations should there be any delays.
If you have any questions about how this change could impact your move please call us on 01525 713111 or 01582 882440 or click here to book a valuation.
If you have any questions regarding this change