Chancellor Rishi Sunak has extended the stamp duty holiday ('SDLT holiday') by three months in the Spring Budget delivered today (March 3 2021). The SDLT holiday was set to finish on 31 March but has now been extended to 30 June 2021. The SDLT holiday was initially announced on 8 July 2020 to boost the housing market following the first coronavirus lockdown. It has proven very successful and the property market has been booming. The threshold is currently £500,000 so many home buyers are exempt from SDLT. This position will remain the same until 30 June 2021 and the threshold will then reduce to £250,000 until 1 October 2021 when it will revert to the previous threshold of £125,000.
Hatch Brenner Head of Property Sarah Finn commented: "The phased approach to reinstatement of the original threshold is welcomed as it will avoid a cliff edge which many in the profession were concerned about. Due to the impact of a very buoyant housing market, many buyers and sellers have seen lengthy delays in their completion dates. The gradual return to normal over three months will give the breathing space the market needs to allow transactions to complete. We also anticipate it will encourage new entrants into the market who will now also be able to take advantage of the tax break."
The Hatch Brenner Property team is very experienced in providing conveyancing legal advice to buyers and sellers of residential property. Contact Sarah Finn via firstname.lastname@example.org or call 01603 660 811.