Buy to let: Time to Invest !

buy to let

Time to invest in buy-to-let!

The government has announced a significant increase in the “stamp duty” tax on real estate purchases known as “buy to let” (rental revenue investment). This new tax, called “Landlord Tax” is announced for 1 April 2016. Investors who buy, after that date, a second home or property to be leased will have to pay 3% in addition to the stamp duty already in place . This is a significant increase. Thus, the stamp duty on property of £ 450K will increase from £ 12.500 to £ 26,000 … enough to replenish the State coffers.

So if you are thinking of investing in a London “buy to let” property, you’d better do it before 1 April and therefore … get started now because the buying process lasts at least two months!

Comparison Chart residential stamp duty (you will live in the property) / rental (you will rent the property)

The stamp duty is calculated by bracket:


Property value Stamp duty rate for owner-occupiers Stamp duty rate for second property/buy-to-let 
(No duty payable properties costing under £40,000)
Up to £125,000Zero3%


The next £125,000 (the portion from £125,001 to £250,000)


The next £675,000 (the portion from £250,001 to £925,000)


The next £575,000 (the portion from £925,001 to £1.5 million)


The remaining amount (the portion above £1.5 million)12%15%

For more informations contact

Contact Christophe Chambon 

+44 789 403 7290

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