Tilly Bailey & Irvine's 'Before The Bubble Bursts' Buy To Let Offer
You may have heard that George Osborne decided in the Autumn Budget to raise the Stamp Duty Land Tax payable on Buy to Let investment properties. The increase, which will come into force on 1st April 2016, will mean that a purchaser of an investment property for £40,000 or more which is intended to be let out will pay an additional 3% stamp duty. This may on the face of it seem a small cost in the process of buying a house. However, it could be the difference between you being able to purchase your Buy to Let investment or the dream never becoming a reality.
In recent years, the media has reported that there is somewhat of a ‘Buy to Let Bubble’ happening. Indeed, Buy to Let lending rose by a staggering 22% in the 12 months from April 2014 to April 2015. In May 2015 approximately 19,100 Buy to Let loans where approved at a collective value of £2.7 billion. This demonstrates that Buy to Let lending is very much a current trend.
What Do The Stamp Duty Changes Mean To You?
Currently a Buy to Let investor will pay the stamp duty land tax rate as a normal household purchaser. Stamp Duty is 0% up to £125,000.00 and is then levied on a rising scale from £125,001.00 up to the top of the scale. The stamp duty table below shows how this is currently calculated.
The increase for Buy to Let purchases will raise the stamp duty rate by 3% for all properties worth £40,000 or more. For example:
- On a £40,000.00 purchase you would pay £1,200.00 in stamp duty compared to no stamp duty at present.
- You would currently pay £1,000 on a £175,000.00 purchase. If you buy a house for the same price on or after 1 April 2016, you will pay £6,250.00.
Act Quickly To Save ££££s
As a result of the increases in stamp duty, we expect to see a rise in the number of Buy to Let purchases taking place prior to 31st March, 2016.
Get in touch now to ensure that your purchase can proceed as quickly as possible and exchange before the deadline. You could save you up to £48,000 on stamp duty.
Save even more …. We are launching a one stop service to Buy to Let investors which includes the purchase together with a tenancy agreement and information on the Tenancy Deposit Scheme for one global fee.
Tilly Bailey & Irvine Offer Costs
£0 - £125,000.00 - £500 plus VAT
£125,001.00 – £250,000.00 - £575 plus VAT
£250,001.00 - £500,000.00 - £700 plus VAT
£500,001.00 - £1,000,000.00 - £1,000 plus VAT
This comprehensive offer will enable all Buy to Let investors to become compliant with legislation from the outset and place you in the best possible position for your purchase completing prior to the government’s deadline of 31st March.
Appointments can be made outside regular office hours.
This offer runs from Friday 8th January, 2016 and saves you up to 25% on our current scale of fees on Buy to Let purchases and applies to all Buy to Let purchases which complete on or before 31st March 2016.