Countdown to the Stamp Duty Deadline – Opportunities for Buy-to-Let Investors

With the stamp duty changes fast approaching at the end of March, property investors have a limited window to take advantage of current rates before the new structure comes into effect. First for Auctions is highlighting opportunities for buy-to-let investors aiming to maximise returns, whether starting small or seeking larger investments.

Current rates of stamp duty for additional properties in England until 31 March 2025

Proportion of property value	Rate for additional property
Up to £250,000	5%
£250,001 to £925,000	10%
£925,001 to £1.5 million	15%
Over £1.5 million	17%

New rates of stamp duty for additional properties in England from 1 April 2025

These adjustments mean that investors completing purchases before the changes on 31 March can benefit from the current lower rates, potentially saving thousands in stamp duty costs. First for Auctions presents a range of properties with promising rental yields for both first-time and seasoned investors:

·          Rosedale Crescent, Earley, Berkshire (Guide Price: £270,000)

Likely to sell at auction for around £400,000, this property presents a higher-yield investment with a strong rental return and a potential monthly income of approximately £2,100 pcm, giving a gross rental yield of 5.9%. If fully refurbished to an ‘A1 condition’ i.e. requiring little to no refurbishment and in top market-ready condition, it could reach a value of £425,000. The stamp duty cost prior to 31st March is £27,500, increasing to £30,000 from 1st April.

·         Hythe Park Road, Egham, Surrey (Guide Price: £300,000)

Likely to sell for around £370,000, this property, with an A1 condition value of approximately £435,000, presents a strong rental return opportunity with potential rental income of £1,995 pcm, giving a gross rental yield of 5.5%. The stamp duty cost prior to 31st March is £24,500, increasing to £27,000 from 1st April.

·         The Dreadnought, Reading (Guide Price: £185,000)

A unique property that currently has a commercial use class with a flat above. Should the buyer obtain the necessary planning permission to convert it to residential, depending on the final layout, this could be a strong investment opportunity for a more experienced investor.

First For Auctions has just one auction left (on 27 February) before the stamp duty changes take effect giving investors time to secure their property investments.

Daniel Gale, Head of Auctions at First for Auctions, commented ‘We’ve seen growing interest from investors keen to maximise their returns ahead of the stamp duty deadline. Our February auction offers a variety of properties across different price points, making it possible to start small or invest larger while taking advantage of current rates.’

Visit First for Auctions for more information or to register for our upcoming auctions.