SDLT threshold on residential property increased to £175,000 and other housing measures announced | Practical Law

SDLT threshold on residential property increased to £175,000 and other housing measures announced | Practical Law

The government has announced that the SDLT threshold for land transactions consisting entirely of residential property will be increased from £125,000 to £175,000 for transactions with an effective date (normally completion) after 2 September 2008 and before 3 September 2009. This means that:

SDLT threshold on residential property increased to £175,000 and other housing measures announced

by PLC Property
Published on 02 Sep 2008 • England, Wales
The government has announced that the SDLT threshold for land transactions consisting entirely of residential property will be increased from £125,000 to £175,000 for transactions with an effective date (normally completion) after 2 September 2008 and before 3 September 2009. This means that:
  • No SDLT will be due where the chargeable consideration is £175,000 or less.
  • Where the chargeable consideration is greater than £175,000 but no greater than £250,000, the rate of SDLT will be 1%.
All other SDLT thresholds and rates remain unchanged (for more information, see Practice note, SDLT reliefs for residential property and HM Treasury: Stamp Duty (2 September 2008)).
Communities and Local Government has also announced other measures to increase confidence in the housing market. Briefly these are:
  • A new shared equity scheme for first-time buyers.
  • A mortgage rescue scheme for those facing repossession.
  • Improved support for homeowners who lose their jobs.
  • Accelerating the provision of £400 million to provide 5,500 new social homes.
  • Supporting critical regeneration schemes proposed by Regional Development Agencies.
For more information see, Press release, Billion pound package for housing (DCLG).