See below a piece from our friend, Adam Nanson, Managing Director at Your Mortgage Expert in regards to the latest updates;
In July, The Chancellor announced a stamp duty holiday for all purchases under £500,000 in England and Northern Ireland. The potential to save up to £15,000 on purchases, has without a doubt stimulated the market.
This stamp duty holiday will also benefit those investing in Buy to Let properties. Whilst the 3% additional property rate still applies to all those buying an additional property i.e. someone who already owns their residence and/or a buy-to-let and is buying an additional property, the stamp duty holiday will still apply to the original Stamp Duty Rate.
Prior to July 2020 the Stamp duty payable on a £300,000 property for anyone buying an additional property in England and Northern Ireland would have been £14,000 (£5,000 standard stamp duty plus £9,000 additional property rate). However, under the new changes the stamp duty payable will only be £9,000, representing a saving of £5,000.
See below table for more information:
Stamp duty threshold in England and NI (from 8th July 2020)
|Property Value||Stamp duty rate||Additional property
rate (eg: Buy to Let)
|Up to £500,000||0%||3%|
|The next £425,000
(the portion from £500,001 to £925,000)
|The next £575,000
(the portion from £925,001 to £1.5m)
|The remaining amount
(the portion above £1.5m)
With savings such as these, now could be an ideal time to purchase a property to rent out. At Your Mortgage Expert, we can access hundreds of different mortgages from a wide range of lenders all under one roof. Fixed rates, trackers, buy to let – we have access to a huge range some of which might not be available to you directly. We will take the time to understand your circumstances and will provide tailored advice to help you get the most suitable option for you.
The team at Bassets can then help you let your property quickly with good quality tenants.
For more information on advice on Buy to Let mortgages, contact their team on 01722 322468 or visit their website www.your-mortgage-expert.co.uk.