Property News · February 24, 2024

‘It makes moving pointless’: why stamp duty is the biggest downside to downsizing


Many older people in large homes would like to release them to growing families, but the financial hit can be hugeWhat’s standing in the way of downsizing for Gail, 58, from Manchester – who is self-employed and lives with her partner in a five-bed house she would like to swap for a smaller home? “Simply the cost of stamp duty. We live in an expensive area, so downsizing will cost us a lot in stamp duty, far more than we would save by having lower bills.”In England and Northern Ireland, stamp duty land tax is charged on properties costing more than £250,000, unless you are a first-time buyer. In Wales, its equivalent applies to homes costing more than £225,000, and in Scotland it starts at £145,000. For a property costing £450,000 in England, it means a bill of £10,000 if you are not buying your first home. Continue reading…

Source : theguardian.com
Read more…‘It makes moving pointless’: why stamp duty is the biggest downside to downsizing

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