Up to 35,000 home buyers are in danger of missing the stamp duty holiday deadline which expires at the end of the year.
Potential buyers are warned to ensure they complete their sale before 31 December. With house purchases taking up to three months to take place this means the possible deadline for mortgage applications is approaching fast. As part of the Government’s recovery package, properties valued between £125,000 and £175,000 have been exempt from stamp duty since September 2008. This will come to a close at the end of the year and buyers will once again face a 1% tax on all properties valued between £125,000 and £175,000.
Based on the previous two quarters’ sales data, almost 35,000 people will look to buy a house valued at between £125,000 and £175,000 between 30 September and 31 December 2009. Buyers at this property price range would normally face a stamp duty tax bill of anywhere between £1,250 and £1,750. With a saving of up to £1,750 at stake for those people who have been considering buying a property, this impending deadline is an added incentive to move fast.
Trevor Peer MLIA (dip)