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Stamp duty holiday for 6 months for properties up to £500K


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I don't understand why they don't let house prices fall. This is the biggest outgoing for individuals. If your mortgage repayments are considerably less then surely you have more money to spend on items boosting the economy. Most home owners will just see their increases reversed. The only ones really hit are the people purchasing in the last 5 - 10 years? 

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6 hours ago, MonsieurCopperCrutch said:

Yes. 

Could you point to where it states this relief will also apply to landlords and 2nd home owners. I'm not disputing it I am just interested and didn't see this mentioned in any of the papers on this story. 

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Its not enough.

2000...definitely,

2005....yes,

2008...maybe

But now? Nope.

Even without the existing exemptions...0% upto 125k, 2% up to 250k, 5% upto 950k...the savings are small going up to 500k, I make it 12,500 saved on a 500K purchase???

Is that really going to save the market. A buyer could now quite rightly ask for drops in the 10's of percent.

A few properties on the market now at 500k will probably end up going for 400k...and that will get worse as we go into the new winter of discontent.

Actually i am struck at the feeble size of the initiatives coming from this government...they seem an order of magnitude down from where they should be.

The boy Sunak is well out of his depth here...even Gordon Broon at the height of his Chancellorship would bulk at size of this task.

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1 minute ago, Roman Roady said:

Its not enough.

2000...definitely,

2005....yes,

2008...maybe

But now? Nope.

Even without the existing exemptions...0% upto 125k, 2% up to 250k, 5% upto 950k...the savings are small going up to 500k, I make it 12,500 saved on a 500K purchase???

Is that really going to save the market. A buyer could now quite rightly ask for drops in the 10's of percent.

A few properties on the market now at 500k will probably end up going for 400k...and that will get worse as we go into the new winter of discontent.

Actually i am struck at the feeble size of the initiatives coming from this government...they seem an order of magnitude down from where they should be.

The boy Sunak is well out of his depth here...even Gordon Broon at the height of his Chancellorship would bulk at size of this task.

He could ask but the seller doesnt have to give... 

Given the low transaction count and the small falls (not 10's of %) coming through said buyer needs to wait for greater falls to build up or pay more. 

If this stamp duty holiday goes to landlords as well expect:

-Rush to buy from BTL who have been paying down their LTV and not purchasing becuase of SDLT - remember they pay 3% on top as well 

-Transfer of ownership from personal to company BTL to avoid S24. SDLT was the main argument not to do it...

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6 minutes ago, Roman Roady said:

i am struck at the feeble size of the initiatives coming from this government

It's entirely possible that they want to allow this to happen while appearing to have attempted to do something

Best Willy Wonka Stop GIFs | Gfycat

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2 minutes ago, LetsBuild said:

I don’t see how this helps. First time buyers were already exempt and they were the new Ponzi scheme entrants required to keep this thing going.

FTB got a £5k discount if the house was under £500k, this is an extra £10k 

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Just now, LetsBuild said:

I don’t see how this helps. First time buyers were already exempt and they were the new Ponzi scheme entrants required to keep this thing going.

It will have a psychological boost, even for FTB, but the key difference will be if LL / 2nd home owners are exempt from the basic or additional rate. In my experience they appear to be the only market. Selling your previous home when buying a new one seems an outdated concept now.  

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Interesting thing here is timing. This announcement will slam the brakes on anyone thinking to buy before November. Assuming also, if it does happen, then the cut will be implemented from the following April. This will have a negative impact in the short term while the uncertainly / hope / waiting for rollout is there. 

Edited by sammersmith
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14 minutes ago, Locke said:

It's entirely possible that they want to allow this to happen while appearing to have attempted to do something

Best Willy Wonka Stop GIFs | Gfycat

This.  If all they are going to do is this, I am happy.  As we were.

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6 minutes ago, sammersmith said:

Interesting thing here is timing. This announcement will slam the brakes on anyone thinking to buy before November. Assuming also, if it does happen, then the cut will be implemented from the following April. This will have a negative impact in the short term while the uncertainly / hope / waiting for rollout is there. 

This.  They have just finished off the housing market.  On purpose?

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3 minutes ago, PropertyMania said:

but if the discount is now for everyone than sellers will increase prices. Net result: most first time buyers worse off

I am not applying any judgement, just providing facts 

It also means that anyone trying to get 525k for their houses are in tough luck trying to get a pound over 500

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13 minutes ago, sammersmith said:

Interesting thing here is timing. This announcement will slam the brakes on anyone thinking to buy before November. Assuming also, if it does happen, then the cut will be implemented from the following April. This will have a negative impact in the short term while the uncertainly / hope / waiting for rollout is there. 

True. Flipside is why would you sell before November... you know theres a shed load of buyers about to turn up..

With mortgage holidays lasting till October nobody is that desperate.

 

Also (if) this does happen will not be a from the following April job - whole purpose is to get the market moving quickly.

Edited by captainb
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3 minutes ago, captainb said:

True. Flipside is why would you sell before November... you know theres a shed load of buyers about to turn up..

With mortgage holidays lasting till October nobody is that desperate.

Maybe. From a selfish point of view it might help my particular situation. I'm looking at empty / semi - derelict properties that are currently on the market. What happens with these? Will the seller take them off the market or keep trying to sell them even though the buyers will be keen to sit on their hands? Sellers are still liable for council tax and maintaining their properties through the winter. 

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6 minutes ago, captainb said:

Also (if) this does happen will not be a from the following April job - whole purpose is to get the market moving quickly.

That's just my assumption to line up with the tax year. I assumed they couldn't bring it in from the day of budget. Maybe they can.

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One wonders what exactly is our esteemed Chancellor going to do about all of the liabilities he has racked up in his short tenure...all he seems to have done is to Spend, Spend, Spend.

At what point do all the initiatives dry up and re-payment start?

And before anyone chimes in with the "wealth tax" or "Property Tax" ideas, please remember that Messers Corbyn and McDonell lost the election in 2019.

Is there anything other than borrowing?

Dont forget that things were not exactly rosy before all of this either.

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2 minutes ago, sammersmith said:

That's just my assumption to line up with the tax year. I assumed they couldn't bring it in from the day of budget. Maybe they can.

My accountant tells me that HMRC are not really coping at the moment. This will be the last thing they need.

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  • 417 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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