New stamp duty rules will come into force in April 2025, so if you’re keen to buy or sell, then you must act quickly to ensure property sales are complete before April to avoid the stamp duty rise.
Alistair Millar, Senior Partner at Tallents Solicitors
“We’re already seeing a huge a spike in conveyancing enquiries and instructions,” says Alistair Millar of Tallents Solicitors, “which is putting pressure on everyone from estate agents to solicitors and mortgage lenders alike to try and complete the purchase before the new changes come in.”
What are the changes due to stamp duty?
From April 2025 under the changes, buyers will start paying stamp duty land tax on any property purchased over £125,000, down from £250,000 currently.
First-time buyers will have to pay stamp duty on homes worth more than £300,000, down from £425,000. However, that higher threshold will only apply if the property costs £500,000 or less, rather than £625,000 now. So, after April 2025, a First Time Buyer buying a home worth more than £500,000 will pay an additional £11,250 in stamp duty on the purchase.
Alistair notes that there are steps that buyers and sellers can take to help the conveyancing process move more quickly and smoothly.
Buyers – how you can help your solicitor
Be serious about buying – having a mortgage agreement in principle will show sellers you are serious about moving and can make a sensible offer on a property. It’s not the same as a mortgage offer, which is an official document from your lender confirming they will give you a mortgage on an agreed property, but it can be an advantage in a competitive buyer’s market in helping your offer be accepted over others.
Find a solicitor early – don’t wait until you’ve found your dream home to engage a solicitor. Speak to family and friends for recommendations on local solicitors who place a priority on clear and timely communications with clients, like Tallents Solicitors. Or find an experienced local conveyancing solicitor through the Law Society’s Conveyancing Quality Scheme (CQS). Choosing a local solicitor who has knowledge of the ins-and-outs of the local property market and who already has relationships with local estate agents, could be a very wise choice over some cheaper online conveyancing firms. When time is tight, local property knowledge will win every time over price.
Prove where your deposit has come from – if you are receiving money from family or must sell off investments to reach your required deposit, then there are legal requirements which must be met to prove the source of the money. This is to comply with anti-money-laundering regulations. Keep documents handy (bank statements, pay slips, savings accounts, investment account statements, etc.) so you can give them to your solicitor when required.
Searches take time, so get them done as soon as the contracts come in – your solicitor will order conveyancing searches once the seller’s contracts are received. These will highlight any issues such as planning proposals, flood risks or water supply.
Book surveys quickly – a building survey (depending on the depth of survey you pay for) can identify any issues that could result in additional negotiations with the seller, such as asking for repairs, requesting certifications or services, or even a price reduction. Such negotiations can often slow the purchase down, so having the results of the surveys quickly can help keep the conveyancing process on track.
Sellers – how you can help your solicitor
Professional relationships count – a knowledgeable local estate agent should be expected to put a realistic price on a property based on their knowledge of the local property market and data collected from similar property sales. It’s also likely that they will already have an established professional relationship with your chosen local solicitor. This can ensure a smooth flow of information between all parties to help mitigate any stress or delays in the process.
Ensure property-related documents are up to date – make sure any documents, such as: electrical certificates, appliance servicing certificates or guarantees, property information forms and EPC certificates, are in order. If you’ve had any major work done on the property, then gather planning and building control approvals, certificates and guarantees, etc. If you’re selling a flat, then order the management pack containing the service charge and building management information, as soon as possible after putting the property on the market. The same applies if you live on an estate where you pay fees to a management company – apply for the management pack as soon as you can. Tallents Solicitors have lots of experience in handling the purchase and sale of property transactions on estates with management companies.
Set a completion deadline – tell everyone involved the completion date, which should be realistic. This can be included in the Memorandum of Sale sent from your estate agent to your solicitor, and clearly states the target date for the completion of the sale. If you’re aiming to complete before the April changes deadline, then this should be no less than seven days before.
At Tallents Solicitors, we know that buying and selling a property can be stressful and challenging at times, but our professional conveyancing teams across our Newark, Southwell and Mansfield offices have decades of experience and can help you through the process.
You can also obtain a residential conveyancing quotation for your property by clicking on the quote button in the header of this page, or by contacting us directly.
