From 1 April 2016 people purchasing additional properties such as buy to let properties and second homes will pay an extra 3% in stamp duty.
This means that tax bill on a buy-to-let property costing £250,000 will jump from £2,500 to £8,800.
This is the second major blow to buy-to-let investors this year, after the summer Budget in July reduced landlords’ ability to offset mortgage interest costs against rental income. That change will be phased in between 2017 and 2020 and is will dramatically reduce the yields available on investment properties and may even make some existing buy-to-lets unprofitable.
This may of course trigger a wave of landlords looking to offload their properties, which may in turn make more first time buyer properties available. Any increase in property supply stops prices from soaring.
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Call us for more information: 01628 507477 or email: team@mortgagerequired.com.
Andy Burnham’s Potential Changes
22 Jul 2026
Despite the Prime Minister not yet announcing any policies to abolish or change Stamp Duty, speculation persists that this could become government policy.
Burnham, who officially became Prime Minister on Monday, 20th July, has expressed strong support for a significant reform of property taxes over recent years. He said that he will deliver “the most significant change moment in our politics for 40 years.”
Young borrowers concerned about credit score
7 Jul 2026
Almost half of young adults are worried about their credit history stopping them from renting or buying a property, according to data from Loqbox
How to add value to your property this summer
26 Jun 2026
Different seasons can have a noticeable effect on property prices.
Research from Zoopla shows that spending out on certain features can fetch up to £29,000 during the summer months.
Monday 22nd June saw Keir Starmer resign as Prime Minister and Labour leader. The resignation does not directly impact mortgage rates, as changes were taking place before this announcement. However, it could influence mortgage rates indirectly through financial markets and future government policies.
Homebuying reform to cut homebuying times by around four weeks, and save first-time buyers around £650, says the government.
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