MSE News: Stamp duty bill for average properties in Scotland to be slashed

Pixie5740

It depends what you call average property though. If you're looking to a buy a family home in Aberdeen then £325k doesn't get you much for your money. I haven't seen a single new build house for under £325k. As for FTB in this city then £135,000 doesn't go far either. I recently looked at a 1 bedroom flat in a new development and the selling price was £300k. It was a very nice flat but not £300k nice. I guess that's down to all the oil money here though which is why most of us moved here in the first place.

It's a good idea to have the stamp duty work more like income tax though rather than jump up in blocks.

IT_Troll

The same holds true for Edinburgh where the average house price in the centre is around £300K. At the £500K threshold this new scheme results in an increase of £12,300 which will come as a bit of shock to many.

Like London, these big cities could do with some regional adjustment to align better with the average pricing.

googler

The house prices in the cities are higher than the rural areas, so the SD is higher. It has always been so.

http://www.ros.gov.uk/pdfs/ros_statistical_report_apr-jun2014.pdf

Shows you where the average price is below £135,000

roddydogs

Pincher wrote: »

Lots of houses in London worth MORE than £500k.

Instead of mansion tax, 10% stamp duty on houses worth more than £2million, instead of 4%.

Currently, one principal private residence is exempt from CGT to an unlimited amount. We can make it a fixed allowance, like the £325k IHT (inheritance) threshold. So, you bought a house 20 years ago for £100k, which is now worth £500k, so the gain is £400k. If the fixed allowance is £350k, you pay CGT on £50k. A person who made £1 million in gains, would pay CGT on £650k.

So an inherited estate would also pay this CGT?

Pincher

roddydogs wrote: »

So an inherited estate would also pay this CGT?

Do you want a fully costed breakdown?

Currently, CGT is reset to nil for Probate.
HMRC seems to be happy with the 40% IHT.

Sadly, gifting before death triggers CGT, as if the parent had sold it.
Even worse, if the parent stays in the house, you still pay the IHT, because the gifting was obviously a tax evasion ploy.

jb66

I guess the move in date will be the 1st april to take advantage of this, im thinking of puting house on market 1st February