5% stamp Duty rise

noddy11

Hi,

be grateful for help, in the process of buying a property, searches done, mortgage done, survey done,solicitors done everything and everything finalised but not exchanged. 

Will I have to pay the extra 2% stamp duty rise today even thought I was already this far down the process?

thank you advance for any help

TractorFactor

No.

I suspect if you Exchange before April next year (when the rate is due to change) then you'll pay the current rates.

SDLT_Geek

noddy11 said:

Hi,

be grateful for help, in the process of buying a property, searches done, mortgage done, survey done,solicitors done everything and everything finalised but not exchanged. 

Will I have to pay the extra 2% stamp duty rise today even thought I was already this far down the process?

thank you advance for any help

Had you been expecting the extra 3% SDLT to be due?  

If the “higher rates” are not due then you will not be impacted by the extra 2% introduced with effect from tomorrow.

noddy11

SDLT_Geek said:

noddy11 said:

Hi,

be grateful for help, in the process of buying a property, searches done, mortgage done, survey done,solicitors done everything and everything finalised but not exchanged. 

Will I have to pay the extra 2% stamp duty rise today even thought I was already this far down the process?

thank you advance for any help

Had you been expecting the extra 3% SDLT to be due?  

If the “higher rates” are not due then you will not be impacted by the extra 2% introduced with effect from tomorrow.

I was expecting to pay 3% stamp duty as advised by my solicitors 2 months ago (the house I am buying is in probate  which has been granted).

I am worried about the rise that comes out tomorrow from 3% to 5% will I how have to pay 5% ?

thank you for any help as this really worrying.

CSL0183

noddy11 said:

SDLT_Geek said:

noddy11 said:

Hi,

be grateful for help, in the process of buying a property, searches done, mortgage done, survey done,solicitors done everything and everything finalised but not exchanged. 

Will I have to pay the extra 2% stamp duty rise today even thought I was already this far down the process?

thank you advance for any help

Had you been expecting the extra 3% SDLT to be due?  

If the “higher rates” are not due then you will not be impacted by the extra 2% introduced with effect from tomorrow.

I was expecting to pay 3% stamp duty as advised by my solicitors 2 months ago (the house I am buying is in probate  which has been granted).

I am worried about the rise that comes out tomorrow from 3% to 5% will I how have to pay 5% ?

thank you for any help as this really worrying.

If it’s a 2nd property then yes, this jump from 3 to 5% is only applicable on additional homes. 

If it’s your main residence and your only residence then No. 

noddy11

Hi all,

yes this is an additional home.

i am left wondering as i am so long down the process of buying this property over 2 months will i still have to pay the rise at a day notice etc?

user1977

noddy11 said:

i am left wondering as i am so long down the process of buying this property over 2 months will i still have to pay the rise at a day notice etc?

Yes. Being "down the process" doesn't make a difference, it applies if you haven't exchanged before midnight.

If "everything is finalised", why haven't you exchanged? Presumably somebody isn't ready yet?

noddy11

We were in the process of setting a date.

If this is the case we won’t be buying the property now, doesn’t seem fair to drop this with one days notice.

the extra cost unless the seller is willing to to cover it which I don’t expect them to is not fair without notice.

p00hsticks

TractorFactor said:

No.

I suspect if you Exchange before April next year (when the rate is due to change) then you'll pay the current rates.

No - the  increase in the additional SDLT rate in England from 3% to 5% for the purchase of additional property takes effect from tomorrow (31st October)

Peter999_2

It's not fair at all Noddy11.   Completely disgusting to only give one days notice of the massive increase.   Why couldn't she have made the change from say January to give a bit of notice.    Like you, I am moving in the next week and this has added a lot of money to the purchase price.

My solicitor wrote to me about 30 minutes after she announced it in the budget.

noddy11

Peter999_2 said:

It's not fair at all Noddy11.  

Yeah it’s crazy, not much thought been given too this.

Going to pull of the sale in the morning as it’s just not viable to go though with the sale now (after other extra cost arose already this is just one too many for us).