25
Nov
Homeowners 'rushing to buy' before stamp duty rise
Figures released by moneysupermarket.com have revealed that
homeowners are rushing to purchase new properties before the stamp
duty holiday ends on December 31st.
The website reported that searches for properties under
£175,000 - the current threshold for stamp duty - have
increased by nine per cent since September.
Hannah-Mercedes Skenfield, mortgages channel manager at
moneysupermarket.com, commented that when the stamp duty holiday
ends, many first-time buyers will find it difficult to enter the
market.
"When the stamp duty benchmark is pushed back to £125,000 and
factoring in the huge cash deposit required by the banks, stepping
on to the housing ladder is going to be an impossible leap for
many," she said.
Ms Skenfield added that the government should extend the stamp duty
threshold indefinitely in order to encourage the continued recovery
in the market.
Another idea put forward by the industry is for a regional
benchmark system to ensure that those living in high-value areas do
not miss out on any stamp duty exemptions.
The £175,000 stamp duty threshold was introduced on September
3rd for a four-month period, however, there have been widespread
calls from estate agents and homeowners to increase the level on a
permanent basis.
