The stamp duty holiday has invigorated the housing market across the country. In London, there has been considerable interest from buyers, because there is a chance to enjoy a considerable saving.
At Sovereign House, we have worked closely with buyers and vendors of late, and we know people are keen to see how much money they will save with the stamp duty holiday in place.
Rightmove say; “Properties in Hackney had an overall average price of £618,305 over the last year. The majority of sales in Hackney during the last year were flats, selling for an average price of £498,253. Terraced properties sold for an average of £964,541, with semi-detached properties fetching £1,362,143.”
At this price, anyone buying at the average price of Hackney property will save £15,000 on stamp duty fees.
Without the stamp duty holiday in place, the expected stamp duty charge would be £20,915.25 but with the stamp duty holiday in place, the additional charge is only £5,915.25. This ties in with the £15,000 saving on offer when the property price is above the threshold.
The average price for flats in Hackney, according to Zoopla, is below the threshold. At a price of £498,253, the expected stamp duty would be 14,912.65. However, for deals which are concluded before the 31st of March 2021, the buyer pays no stamp duty charge at this property price.
While the saving is slightly less than the £15,000 saving on offer at the average price, this figure still represents a significant saving for the buyer. It is fair to say the stamp duty holiday is of benefit to buyers in London, because it allows for a substantial reduction in the overall cost of moving home.
With terraced properties holding an average price of £964,541, it is apparent that buyers save £15,000 on stamp duty fees at this time. Without the stamp duty holiday in place, the expected charge would be £40,204.10. For anyone buying before the deadline, the stamp duty charge at this property price is £25,204.10.
Semi-detached properties have an average price in excess of one million pounds, so it goes without saying that there will be a saving of £15,000 on offer for house buyers at this time. Without the stamp duty holiday, anyone buying a semi-detached property at the average price of £1,362,143 will pay a stamp duty charge of £79,964.30.
Spending close to £80,000 on additional fees when buying property is an exceptional outlay for anyone. With the stamp duty holiday in place, the additional fee drops to £64,964.30. This is still an exceptional sum, but most buyers would be keen to enjoy a saving of £15,000 at any time.
These are challenging times in the housing market, but there is activity and demand for homes. At Sovereign House, we are keen to help you with whatever you need in the Hackney property market. Why not call us on 020 8985 5800 or visit us at 213 Victoria Park Road, we look forward to assisting you with your property needs.