If the last year has taught us anything it’s who and what we truly value and it’s no different in terms of property. With record hits on property search engines like Rightmove, an increased interest in property abroad and even commerical properties seeing a surge of interest, it seems we have spent the last year evaluating and planning for the future.
City dwellers have realised they value outside space over a shorter commute, those who live far away from friends and family are making the move back home, while others are downsizing or making the move to the seaside. And with such a fluid market, it wont be long before you find your ideal home.
Here’s what will help to keep us moving in 2021:
Stamp Duty Holiday Extension
The Spring Budget saw the announcement of the stamp duty holiday extension. Which means you have until 30 June to complete on the purchase of your new home to take advantage of the savings made when buying a home worth up to £500,000. After which it starts a steady decline to the normal £125,000 threshold on 1 October.
The new £500,000 nil rate band for #StampDuty won’t end on 31st March, it will end on the 30th June.
— Rishi Sunak (@RishiSunak) March 3, 2021
Then, to smooth the transition back to normal, the nil rate band will be £250,000, double its standard level, until the end of September. #Budget2021 pic.twitter.com/jq7APWRP5M
There has been no further extension to the Land & Buildings Transaction Tax in Scotland.
In Wales, temporary Land Transaction Tax reductions have been extended to 30 June 2021 in line with England’s stamp duty holiday extension.
Mortgage Guarantee Scheme
We all know how hard it is to save a 15 – 20% deposit, especially if you’re a first time buyer. But from the beginning of April it’s set to become that bit easier to get a foot on the property ladder. Here’s why:
A new policy to stand behind homebuyers: a mortgage guarantee.
— Rishi Sunak (@RishiSunak) March 3, 2021
Lenders who provide mortgages to home buyers who can only afford a 5% deposit, will benefit from a government guarantee on those mortgages. #Budget2021 pic.twitter.com/kyNbzHOMdM
So from 1 April all home buyers, both new and existing, will be able to purchase properties up to the value of £600,000 with just a 5% deposit. And while the normal affordability criteria still applies, it’s set to be a game changer for many first time buyers with some of the biggest lenders in the UK like Lloyds, Barclays and Santander commiting to the scheme.
Speak to your local agent about taking advantage of these schemes today.