The Changes to Stamp Duty | The Property Market Update
The property market is forever changing; we want to keep you up to date with what’s going on when it happens. In this recent market update Mark Manning, Managing Director of Manning Stainton discusses the significant changes made to Stamp Duty announced by the Government yesterday and the positive impact these changes will have for home buyers and the property market!
'Welcome to another quick mid-month update and in this ever-changing world we are seeing at the moment we had some good news from the Chancellor yesterday with the announcement you will have all have seen.
So the first £500,000 of any property purchase is now exempt from Stamp Duty which they report will save the average buyer £4,500.
This applies to any purchase whether it's your primary residence or an additional property however the 3% higher rate will still apply on top of the revised standard rates as always.
So whats our view –
Well as I have already reported we are experiencing a very busy time at the moment playing catchup on those missed periods of time through the lockdown.
The impact of this change is in our view three things:
1. It allows people to spend more money towards a deposit, home improvements or to just have that bit more cash in their pockets.
2. It gives people who were sitting on the fence a reason to do something now. Remember the average property takes according to Rightmove 92 days to get from under offer to exchange. This is on top of the time on market. So if sellers are going to take advantage of this before for 31st March we would suggest there is a window between now and the end of 2020 to do so.
3. Finally and perhaps the most important thing. Confidence. Any announcement like this provides great headlines (as we will have all seen this morning) and gives momentum to a market already moving well. '