Whopping stamp duty or wait it out?

thenap80

is it normal to pay 50k stamp duty? Are people actually paying this? Seems hefty!!!! I want to buy a place to let out but 50k plus extra seems a bit much? Are people in UK actually paying this? Seems very dissuading. Or is it just me being tight!?

eskbanker

https://forums.moneysavingexpert.com/discussion/6655598/whopping-stamp-duty-or-wait-it-out

It's intended to be dissuading, the tax regime around buying to let has been tightened steadily over quite a few years now - if you're considering waiting it out for improvement, don't hold your breath!

user1977

https://forums.moneysavingexpert.com/discussion/6655598/whopping-stamp-duty-or-wait-it-out

I expect everyone is paying that amount assuming they are paying the additional rate for a purchase of £600k in England or Northern Ireland, yes.

If you're a bit tight, why are you wanting to splash out £600k on a BTL?

thenap80

https://forums.moneysavingexpert.com/discussion/comment/81887028#Comment_81887028

guess I’m not tight. But reluctant somewhat as it’s kind of a tax that doesn’t really equate to anything back! Extreme numbers

Herzlos

It's just a cost of doing business you need to factor in.

But yes, people buying houses in that price bracket are paying that much stamp duty, tax dodging antics aside.

eskbanker

reluctant somewhat as it’s kind of a tax that doesn’t really equate to anything back!

An odd way of measuring taxation, but it all goes into the big pot and is used to fund public services, etc, so you get as much back from this tax as any other?

user1977

as it’s kind of a tax that doesn’t really equate to anything back

There's no such tax (other than the most general sense that the government has to have an income if we want them to spend money on anything).

thenap80

https://forums.moneysavingexpert.com/discussion/comment/81887055#Comment_81887055

not really, I live abroad

user1977

https://forums.moneysavingexpert.com/discussion/comment/81887161#Comment_81887161

Ok, but your investment property still gets the benefits of being somewhere where your tenants can enjoy a health service, schools, benefits system, fire brigade, defence force, planning system, etc.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/81887171#Comment_81887171

theartfullodger

https://forums.moneysavingexpert.com/discussion/6655598/whopping-stamp-duty-or-wait-it-out

Wait till you find out how you will be taxed as a landlord. What financial reserves will you have?? Any training or education in being a landlord, please?? If none strongly suggest you do some before going forward. When I started 2000 I thought I knew everything. Oh the hubris, oh my stupidity. Expensive, complicated, long-drawn out tricky.

Do you expect to make money?? Most years I do, but not always.