Time is running out
The temporary exemption which meant that First Time Buyers were free from the 1 per cent stamp duty on homes costing under £250,000 comes to an end on March 24th 2012.
Stamp duty is a percentage paid on the purchase of a home or non-residential property, graded into bands. The bands for the tax year 2010/2011 are:
| Purchase price |
Stamp duty for |
Stamp Duty for |
| Up to £125,000 | Zero | Zero |
| £125,000 - £250,000 | Zero | 1% |
| £250,000 - £500,000 | 3% | 3% |
| £500,000 - £1,000,000 | 4% | 4% |
| £1,000,000 | 5% | 5% |
Stamp duty is paid on the whole value of a property, so if you buy a property costing £251,000, you would pay £7,530 not just the amount over the threshold as you would do with income tax. If you buy a property under £250,000 before 12th March, you pay nothing. Or, if you buy a property for £130,000, getting in before the deadline saves you £1,300.
If you are currently looking to take your first step on the property ladder, and you are prepared to move quickly, there is still time left to buy your new home and pay zero duty. But you need to act quickly and ESPC is here to help.
If you have any questions about stamp duty or any other aspect of property buying and selling, ESPC property experts are the people to ask. Free Ask the Experts consultations are available in the newly refurbished ESPC showroom, 85 George Street, Edinburgh each weekday from 12 noon to 2pm, Saturday 10am to 5pm and Sunday 10am to 3pm. No need for an appointment. Just drop in.
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The initial consultation with an adviser is obligation free. Thereafter, ESPC Money Management's charges for mortgage advice are usually £350 (£250 for first-time buyers). YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
ESPC,
90a George Street,
Edinburgh,
EH2 3DF