How much stamp duty will I need to pay?
In England and Northern Ireland, first-time buyers purchasing shared ownership properties costing up to £500,000 are now subject to the stamp duty relief available to other first time buyers. Previously, they still had to pay the tax even though all other first-time buyers were exempt on the first £300,000 on properties valued at up to £500,000 – a change which came into effect from the previous Budget last November.
Properties valued up to £300,000 are exempt from Stamp Duty Land Tax, 5% is then payable on any value above £300,000 up to and including £500,000.
This means that you will pay:
- 0% on the first £300,000
- 5% on the remainder up to £500,000
If the purchase price is more than £500,000 you can’t claim the relief and must pay the standard rates on the total purchase price.