Flexible Mortgages

When moving or buying a house one of the most expensive costs associated with it is stamp duty. It is often overlooked by inexperienced buyers but it should be highlighted by your solicitor or mortgage lender.

The process is simple enough but the general rule is the more you spend on a property the larger the stamp duty shall be. There are four categories of stamp duty and each one is described below.

Category A
The purchase of the property is under £60,000 meaning that no stamp duty is required to be paid by the new owner.

Category B
The purchase of the property is between £60,000 and £250,000 meaning that a stamp duty of 1% of the property’s value is to be levied and paid to the Stamp Office.

Category C
The purchase of the property is between £250,001 and £500,000 meaning that a stamp duty of 3% of the property’s value is to be levied and paid by the new owner.

Category D
The purchase of the property is over £500,000 meaning that a stamp duty of 4% of the property’s value is to be levied and paid to the Stamp Office.

However, there are some areas that allow for an exemption of stamp duty for properties under the value of £150,000. Your solicitor should be aware of whether the property you have selected is exempt as well as dealing with the Stamp Office if paying any stamp duty.

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