Stamp duty-free for zero rated  properties

There is no stamp duty to pay on properties costing up to £125,000.

Since 1 October 2007, zero-carbon homes have also been subject to different rules. All qualifying properties changing hands for up to £500,000 are exempt from the tax, while those valued at more than £500,000 have £15,000 knocked off their stamp duty bill.

For the purpose of stamp duty relief, a zero-carbon home means a home that is energy efficient in terms of heat loss, C02 emission rate and net C02 emissions. However, the regulations only stand until 30 September 2012, and buyers of a second-hand zero-carbon home will not qualify for the
tax relief.

In 2005, the government introduced something called disadvantaged areas relief in the hope of stimulating residential sales and regenerating certain locations. A property in one of these designated areas that costs less than £150,000 is free from stamp duty.