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Property Search
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| Frequently Asked Questions |
- What costs are involved in buying a Property?
There are a number of things for you to consider in addition to the price of the property itself.
(i) Stamp Duty
Stamp Duty (or Stamp Duty Land Tax, SDLT) is a tax levied by the Government when you are buying a home, not selling. It is paid on completion of a purchase and your solicitor will ask you to complete a Land Transaction Return and will need the funds to cover the duty shortly before the completion date. Your solicitor will then send the money to the Inland Revenue on your behalf.
As of April 2011, charges are as follows -
For properties sold up to �125,000, you will pay 0% of the purchase price in Stamp Duty.
For properties sold between �125,001 - �250,000, you will pay 1% of the purchase price**
For properties sold between �250,001 - �500,000, you will pay 3% of the purchase price
For properties sold between �500,001 - �1,000,000, you will pay 4% of the purchase price.
For properties sold over �1,000,000, you will pay 5% of the purchase price.
As of 24th March 2010, stamp duty has been abolished for first-time buyers purchasing a home for less than �250,000. The exemption ends on 24 March 2012. Buyers will be eligible only if they have never bought a home in Britain or overseas in the past. It also must be their only or main home.
For further information, please go to www.hmrc.gov.uk/so/index.htm)
(ii) Legal Fees
Dependant on a number of variables, namely the size of the transaction, your choice of solicitor and the amount of work required, conveyancing fees can vary quite dramatically, but on average, expect to pay between 0.5% - 1% plus VAT of the purchase price of the property.
Richard James can help you find a specialist firm of solicitors but whomever you instruct, we'd advise you to get a written quote and a breakdown of each individual charge before you go ahead. Within the quote, you will be subject to disbursement costs such as Land Registry fees, obtaining property deeds and various searches that your solicitor will detail in the final invoice.
For further information, please go to www.lawsociety.co.uk
(iii) Removals
We work with a number of very good, reputable firms and will be glad to recommend them upon your request.
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