The Changing Landscape of Buy-to-Let

In the second half of 2015, the Government made two announcements that will fundamentally change the buy-to-let landscape: as from April 2016, investors will be subject to an additional 3% stamp duty levy and, from 2017, a reduction of tax relief on rental income will be phased in. These higher tax rates may well discourage some investors.

The higher upfront cost from the additional 3% Stamp Duty will mean that the Stamp Duty paid on an average London home costing £500,000 will double to £30,000. While many seasoned investors will consider 3% to be incidental when taken in context of the reliable growth in capital values that the London market offers, this additional cost may put off some prospective investors. Download the report to read more...