In his Autumn Statement, David Cameron announced changes to the system in a bid to make it fairer and to help people get on the property ladder, as well as assist those who are keen to move house, with the changes due to come in today (December 4th).
First-timers will now be able to take advantage of a lower upfront cost when purchasing a home, with those buying a property under £935,000 able to play less stamp duty. People looking to invest in the highest value dwellings, however, will pay more – so if you were to buy a house for £5 million, for example, you would pay an extra £163,750.
Commenting on the development, the director-general of the Council of Mortgage Lenders (CML), Paul Smee, observed that the changes have been a long time coming “but better late than never”, adding that the “vast majority of mortgaged transactions will benefit from lower tax as a result of this move”.
In order to offer further help to potential homeowners, the CML and Which? are collaborating to on a series of measures to improve understanding, transparency and decision-making for those considering the costs of various mortgages.
What do you think of the new changes to stamp duty land tax? Are you for or against? Let us know on Facebook or Twitter.