What is Stamp Duty?
Stamp duty is one of the costs you need to consider when you purchase a new home. Depending on the value of the property you buy, it can be a sizeable cost to take into account.
Officially known as Stamp Duty Land Tax (SDLT) in England and Northern Ireland, the charge is a tax that’s paid to the government when you buy property. Some buyers and properties are exempt, while there are different rates that apply depending on the value of the home you buy.
Which factors will influence whether I need to pay Stamp Duty?
Stamp duty can cost up to 12% of the property purchase price. The amount will depend on the value of the property bought, the purchase date, whether you’re a first time buyer and whether you are a multiple home owner.
How do you pay Stamp Duty
Stamp duty must be paid within 14 days of completing your property purchase. To do this, you have to file a stamp duty return with HMRC and send payment.
If you’ve got a conveyancing solicitor working on your behalf, they should do this for you and add the Stamp Duty charge to their costs. It is possible to add a Stamp Duty charge to your mortgage, but this will mean you’ll pay interest on it for the duration of your mortgage term.
Reach out to our sales team they will be able to help