SALES NEWS: Stamp duty changes make buying cheaper in south west
The government’s sweeping changes to stamp duty on homes will particularly benefit areas like the south west, where almost every property will now be cheaper to purchase.
For example, the average price of a home in Topsham according to sales website Zoopla is £370,125. Under the old stamp duty system a buyer of a house of that price would have paid a hefty £11,103.75p. Under the new system, the fee would be only £8,506.25p.
The story is the same in Exeter – only more dramatic. The average house price across the city is £257,724. Under the old system that would have meant £7,731.72 stamp duty but now it is much less at £2,886.20.
The new system is graduated and progressive. If the price of a home rises above a duty threshold, the buyer pays the higher tax only on that segment of the price. It eliminates the old ‘slab’ tax thresholds where buyers paid the highest amount of duty on the full price.