The 2024 Autumn budget: make your move to save thousands on Stamp Duty
Stamp Duty thresholds will change on the 31st March 2025, so here’s everything you need to know if you’re planning to buy a new home.
The Autumn Budget, announced on 30th October 2024, included changes that will affect personal finances. For anyone hoping to move house in 2025, one of the key updates to be aware of is the change to Stamp Duty Land Tax thresholds which will come into effect on 31st March 2025.
Whether you’re looking to take your first step on the housing ladder, are looking to move to a new home to suit your needs, or are looking for an investment property, here’s how the new changes could affect you.
Lower Stamp Duty exemption threshold for first time buyers
If you’re a first time buyer currently purchasing a home, you won’t have to pay Stamp Duty on properties priced up to £425,000. This was a temporary measure that came into effect in 2022.
From the end of March 2025, however, this reverts to the previous threshold of £300,000.
So, if you buy your first home after March 2025, and it costs over £300,000, you will have to pay 5% stamp duty on the portion between £300,000 and £500,000.
If you were to buy a first home that costs £425,000, while, currently, you would pay zero Stamp Duty, from 1st April 2025 you will have to pay £6,250.
If your first home costs over £500,000, you will have to follow the same rates as other home buyers without the stamp duty relief on the portion below £300,000.
This means that if you’re currently thinking of buying your first home and want to avoid paying Stamp Duty, you could save thousands by buying sooner rather than later.
Financial experts are also urging people to consider acting quickly. On his Budget special of The Martin Lewis Money Show, Martin said “If you’re looking to buy now, you want to get it done by next April as it’s going to get a lot more expensive.”
Anyone buying a second home has to pay an additional 5%
Along with the changes to thresholds for first time buyers, anyone looking to buy a second home (an additional home to one you already own) will have to pay more, too.
Up until 31st October 2024, buyers of additional properties, such as second homes or investment properties, had to pay an extra 3% on top of the usual Stamp Duty rates.
This has now risen to 5%, meaning if you were to buy a second property up to £250,000, you would have to pay 5%.
If your home costs between £250,001 and £925,000, you will have to pay 10% on that portion, and if it costs between £925,001 and £1.5 million, you will have to pay 15% on that portion.
Find out more about SLDT on additional properties here , or try out the Gov.uk Stamp Duty Calculator.
Your guide to Stamp Duty after the 2024 Budget
Stamp Duty Land Tax can be a significant extra cost if you're buying a home. Whether you're a first time buyer, home mover or own more than one property, take a look at our guide on everything you need to know about Stamp Duty.
A guide to Stamp DutyFind your ideal solution with a Persimmon buying scheme
If you want to buy your first home before the stamp duty threshold changes, you could get moving sooner than you think with one of our great buying schemes.
Struggling to save that all-important 10% deposit? Deposit Unlock could allow you to secure a new Persimmon home with a deposit of about 5%, getting you on the ladder sooner.
Or, if you already have a 10% deposit, you could use our Deposit Boost scheme. We’ll boost your deposit by 5%, giving you a total deposit of 15%, meaning you won’t have to borrow as much.
