When buying your first home Stamp Duty Land Tax will be one of the expenses you will need to budget for when paying for your new home. If your property is valued up to £500,000 as a first time buyer you won’t pay stamp duty on the first £300,000. If you are buying as part of a shared ownership scheme then you won’t pay stamp duty on the first £500,000.
When buying a property valued between £300,000 and £500,000 first time buyers will pay SDLT calculated at 5% on the purchase price exceeding £300,000. This amounts to a reduction of about £5,000 compared to the SDLT paid under the previous scales. To claim relief you will need to complete an SDLT return.
When the stamp duty holiday was first announced, first-time buyers and other people who have previously owned a property do not have to pay stamp duty on their main property up to the value of £500,000. This depends on the sale being completed between 8th July 2020 and 31st March 2021. The Stamp Duty holiday has also since been extended.