Temporary Increase to Stamp Duty Thresholds ??
UK Moneyman Limited
Independent Mortgage Broker | Age 60+ Mortgage Specialist | Bridging Loans | Commercial Mortgages ????
The pre-Autumn statement rumours were running wild last weekend, the Chancellor even joked that if all of the rumours came true there’d be no taxes at all left! As it turned out, the Autumn statement was rather a damp squib for most people. Yes, we will be paying less National Insurance, but much of the benefit of that is wiped out by the freezes to the income tax personal allowances (aka “stealth tax”).
The opportunity to reform Stamp Duty was once again not taken up. It is a somewhat bizarre tax in that the buyer essentially pays tax on the gain made by the home seller! It is also a barrier for older people considering downsizing as they still have to pay Stamp Duty on their onward purchase. A tweak in this particular area could potentially free up some bigger properties onto the market for younger families to move up the ladder into.
The temporary increase in the amount that a purchaser pays before becoming liable for Stamp Duty remains at ￡250,000 and, as it stands, this is due to reduce back to ￡125,000 in March 2025. The ￡425,000 exemption for First Time Buyers is due to reduce back to ￡300,000 at the same time.
The Mortgage Guarantee Scheme has also been extended this week, this is excellent news for First Time Buyers as it gives Banks the confidence to lend with as little as a 5% deposit. Older readers will remember lots of times in the past when 95% mortgage were not available at all, so we shouldn’t take that for granted.
In summary, whilst there was no shot in the arm or turbo-charged artificial boost to the market, I would say it is functioning pretty well anyway. Fixed rate mortgages have dropped to an affordable level, Lenders are in the market to lend and we expect to see the usual bright start to the new year come January.
?? How does the autumn statement affect later life lending (Age 60 to 90+) ?
With the long awaited Autumn statement turning out as a number of diluted measures making no useful impact for those suffering the worst of the cost of living crisis, perhaps the best takeaway for potential older borrowers is the preservation of the triple lock and a rise in the state pension which should hopefully help those having to, or choosing to, service the interest on their mortgage in retirement.
If you are concerned about affordability going forward in light of the chancellor's statement, please get in touch to talk things through, it costs nothing to look at all the options available to you
?? Looking to Purchase a New Property?
House prices have been resilient over the past year since the interest rates started to go back to the pre-2008 crash levels. ?
We haven’t seen any major drops in prices, however, many of our clients are managing to negotiate well on asking prices. ?
The market is still relatively slow right now, so if you find the right property for you, there will most likely be a deal to be done. ?
Both first time buyers and home movers looking to move up the ladder can benefit from this for the next few months. ??
Financial pressures put on Landlords have resulted in significant increases in rent in around the city. In most cases, buying still works our cheaper than renting. ?
See what your mortgage options are today ↙?
?? Turn On Your FREE Mortgage Tracker
If you are not already receiving our monthly ‘mortgage monitoring’ emails, you can register for free using the link below. ?
领英推荐
The advantages of our mortgage monitor are:?
?? Is Your Current Mortgage Deal Ending Soon?
Please don’t sign into a new deal with your existing lender without speaking to us first!
With our help, we could save you lots of money by shopping around for your new mortgage.
It’s a fast and easy process!
We’ll provide a free 24/7 always on?mortgage monitoring service, ensuring you are always on the best deal.
?? Later Life Mortgage Options including Equity Release (Age 60 to 90+)
Later life lending is becoming more flexible to meet borrower's needs, our advice process will help to tailor a solution for your situation.?
The main reasons why clients aged 60+ need mortgage help are:?
?? Buildings & Contents Insurance – Get a Free Quote
Is your home or landlord's insurance due for renewal soon? If so, you can get a quote from our award-winning, 5-star Defaqto rated partner, Uinsure, here.