Stamp Duty Brackets

gnimia

Hi all,
I suspect this has been asked 1,000 times before, but my searching ability is letting me down!

The basic question is, how much over a stamp duty bracket does a property have to be worth (to you) to make it worth the extra 1% in tax.

I'm asking on behalf on my folks whose peroperty has been valued at around £1m (975-1.2m:eek:) and they are trying to decide what to put it on at for a relatively quick sale. Its a West London, family home so hopefully a fair few potential buyers out there. Answers relating to that bracket would be ideal - but feel free to pitch in at any level!

Either way its alot of money,

hazyjo

Check out what similar nearby properties have actually sold for. Price accordingly.

Probably wouldn't bother pitching it at over £1mil. Stick it on at that price and see what sort of interest they get. If there are several people interested, they will probably pay over the odds anyway - although bidding wars are rare in this market.

Jx

Thrugelmir

I would be looking to reduce the price paid to compensate for the addition % in stamp duty. If it was close to the boundary.

gnimia

Bumping, just in case anyone is around on this sunny afternoon!

Mickygg

I think people will be put off by an extra 1%, especially as moving houses costs soooo much money.At that price point I would defo price above £1m (maybe not for quick sale though) as people will probably offer £1m. If you price at 1.2m someone if they loved the property may offer over the magic million mark. Who knows though as in his market in London anything can happen.But for a quick sale, put it on market for under 1m.

oldskoo1

At 1.2million 12k is quite a lot of cash to most people. But is it really that much to someone buying a house worth that in west London, I doubt it.

Most people want a deal but no need to drop 200k or whatever it's worth to get it in the 4% band. Just knock a little ore off the price and initially price it what it's worth. If its in the right area of west London and the right type of house money might be no object for some.

I don't live by London prices but I've just bought a 300k house in the midlands. We looked at houses over the 250k mark. If the house was right I would have no issues paying north of 265k but under that I would always expect that the sellers have priced it so close to 250, why would anyone pay more. So I guess I'm saying 6%.