Finance FAQs
Q. What is Stamp duty?
A. It is the tax you have to pay when you purchase a house (or shares). It is paid to the Stamp Duty office and your solicitor will arrange this for you.
Q. How much is Stamp duty?
A. The current stamp duty thresholds are:
- Up to £175,000 (until 31 December 2009 inclusive): 0%
- £175,001 - £250,000: 1%
- £250,001 - £500,000: 3%
- £500,001 or more: 4%
Q. I have heard I need a HIP – What is this?
A. ‘Home Information Packs’, or Hips, are a collection of documents providing information about a property for sale. These do not apply to re-mortgages or 2nd mortgages. You may be exempt due to property value.
Q. What do HIPS do?
A. HIPS make the sales process easier by reducing the chances of any nasty surprises in the selling process that could delay or stop a sale.
If you're selling a property in England or Wales, you must have a HIP before you, or your estate agent, can begin marketing your property. HIPS were commissioned and paid for by the seller of a property.
Q. What are the associated costs of mortgages?
A. This can depend on your circumstances and mortgage you are taking out. Any fees applicable from any source will be fully discussed with you. It is important to note that solicitors, valuers and lenders often charge fees, these could be for a new mortgage or for the one you already have.