Stamp duty reforms from midnight tonight.

Nick_C

I think Racing Blue's calculations aren't quite right at the threshold change levels. According to the calculator at http://www.hmrc.gov.uk/tools/sdlt/land-and-property.htm a £1M property would see a tax cut of £3750, not £6250.

The government factsheet suggests (but does not state) a breakeven point of £937,500, but there are some winners between £1M and £1.125M

According to my calculations, the biggest winners are people buying houses around the £510K mark, who will gain around £4,900.

Badgergal

chaotix wrote: »

My wife and I legally completed on the 28th November. We don't have much left over so the 3k we would have saved on the new system would have been really helpful to buy furniture.

Is there *anything* we can do about this? Even if it means writing a letter to someone to see if they'd help us in this situation?

Quite depressing to know we could have saved 3k just by waiting a few days... especially since we're not going to move in until February/March.

Similar here...we would have saved 4.5k which is, ironically, the amount we are currently trying to scrape together to have some essential works done...I am sick, as this would have helped us so much.

As to what can be done, I suspect the answer is 'not a lot' but don't blame you for asking the question though

Gutted for us , but pleased for those who will benefit.

AMILLIONDOLLARS

chaotix wrote: »

My wife and I legally completed on the 28th November. We don't have much left over so the 3k we would have saved on the new system would have been really helpful to buy furniture.

Is there *anything* we can do about this? Even if it means writing a letter to someone to see if they'd help us in this situation?

Quite depressing to know we could have saved 3k just by waiting a few days... especially since we're not going to move in until February/March.

If you have completed, rather than just exchanged. Then there is nothing you can do. If you have exchanged waiting for completion, use the calculator. At least you have a house, its a starting point of making it a home.

All the best

AMD

joehoover

chaotix wrote: »

My wife and I legally completed on the 28th November. We don't have much left over so the 3k we would have saved on the new system would have been really helpful to buy furniture.

Is there *anything* we can do about this? Even if it means writing a letter to someone to see if they'd help us in this situation?

Quite depressing to know we could have saved 3k just by waiting a few days... especially since we're not going to move in until February/March.

My friends completed yesterday, I feel so bad for them. Maybe if enough people campaign they may tweak it as the rules state clearly if you have completed you cannot use new rules. If you have exchanged but not completed until after midnight tonight you can pick the new rules. They have to draw the line somewhere but I think a better way would be if anyone who is yet to pay the stamp duty can take the lower rates. You have 30 days from completion to pay it so if they had allowed people yet to pay it to then benefit from the lower rates would have been nicer.

pinkteapot

Explanation of where the lines are being drawn on p2 of this: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/382324/Stamp_Duty_15.pdf

They won't change their minds I'm afraid.

mikeyscott

ffsear wrote: »

I completed 3 weeks ago and paid £8550 stamp duty.!! Tommorow it would of been £4250 :mad: :mad: :mad: :mad: :mad: :mad:

Pretty much same as me. ****r

joehoover wrote: »

My friends completed yesterday, I feel so bad for them. Maybe if enough people campaign they may tweak it as the rules state clearly if you have completed you cannot use new rules. If you have exchanged but not completed until after midnight tonight you can pick the new rules. They have to draw the line somewhere but I think a better way would be if anyone who is yet to pay the stamp duty can take the lower rates. You have 30 days from completion to pay it so if they had allowed people yet to pay it to then benefit from the lower rates would have been nicer.

Where do I sign


If he'd made the change for the new financial year I'd still be upset, but not as mad!


Dangerous game with the election coming, but I hate all of them and labour the most.

Mortgage_Mark_2

joehoover wrote: »

My friends completed yesterday, I feel so bad for them. Maybe if enough people campaign they may tweak it as the rules state clearly if you have completed you cannot use new rules. If you have exchanged but not completed until after midnight tonight you can pick the new rules. They have to draw the line somewhere but I think a better way would be if anyone who is yet to pay the stamp duty can take the lower rates. You have 30 days from completion to pay it so if they had allowed people yet to pay it to then benefit from the lower rates would have been nicer.

If you've exchanged contracts but not yet completed, you can choose whether to pay under the old or new calculation, so that nobody misses out.

Jhoney_2

I'm grateful that I will get something back, but I think if they want to help FTB who are apparently in their 30+ and still unable to afford a home of their own, they would have done better to raise the threshold at which this kicks in.

There must be young families cramped up with mum & dad/ renting and saving like mad out there, whereas the multimillionaires will not notice and will have earned that in interest before they even have time to laugh/gasp about it!

Obviously this too late for some and it should have been done a lot sooner tbh, but that's how it goes e.g those of you who got your re/mortgage before the new changes kicked in ( and good on you) vs those of us trying to get one in the future.

Let's be glad of some change overall.

snazzy123

Looks like I narrowly avoided paying an extra £1400! I'm buying a new build and my solicitor sent the building agreement and transfer of sale document along with my deposit to the developers solicitor yesterday...that's the new build equivalent of exchanging, right?

MercilessKiller

Jhoney wrote: »

I'm grateful that I will get something back, but I think if they want to help FTB who are apparently in their 30+ and still unable to afford a home of their own, they would have done better to raise the threshold at which this kicks in.

There must be young families cramped up with mum & dad/ renting and saving like mad out there, whereas the multimillionaires will not notice and will have earned that in interest before they even have time to laugh/gasp about it!

Obviously this too late for some and it should have been done a lot sooner tbh, but that's how it goes e.g those of you who got your re/mortgage before the new changes kicked in ( and good on you) vs those of us trying to get one in the future.

Let's be glad of some change overall.

They have kind of done that though - 2% of 20k for example is only £200