Stamp Duty Changes July 2021
The property industry is BOOMING!
When I say property industry, I mean everything that’s needed for property including the property itself. We are in the lucky position to speak with people that work in various industries and they are all saying the same thing… It’s booming.
We spoke to a local director of a department store in Loughborough about the changes they have seen in peoples buying habits in the last 18 months. He said that the furniture department is doing exceptionally well compared to the rest of the store and he believes it’s to do with people moving to a new house. Everything that’s doing well seems to be relating back to the property market.
Speaking with our mortgage advisor and solicitors they are busier than they have ever been, and they can’t see it slowing down in the short to medium term.
So, let look at some facts….
Over the last year, house prices have soared 8.5%, meaning the average UK home is now worth £256,405 – a six-year high, but the East Midlands (where we operate) has seen a 12.4% increase with the average price of £219,950.
Property transactions hit a 14-year high in February
This has been a record month for house price growth and annual house price growth is at a six-year high
This time last year we were planning for a BIG recession and house prices to plummet…. How wrong were we and most of the population? So why is this happening…
Borrowing money has become increasingly cheap.
People have been saving a lot more money due to lockdown (no commuting, no socialising, no holidays etc).
The stamp duty holiday.
People are re-evaluating their life and what’s important (space, home office, close to family and friends).
These are just a few reasons why we think property is booming and it’s not just the sales market, the rental market is hot too.
So, let’s look at stamp duty as this is going to be changing over the next few months and you need to make sure you have calculated the right amount when looking at potential deals. The graphs below are for people buying their own home and not an additional investment or holiday home. All you need to do is add 3% on top of the rates shown e.g., if it states 5% stamp duty you will need to pay 8%. Here is a useful link to a stamp duty calculator to work out exactly how much you will have to pay https://www.stampdutycalculator.org.uk.
Finally a little update form us…
We had a great day volunteering for Alex’s Wish which we are ambassadors for. It was their first ever outdoors event and their first event since COVID-19. We raised a massive £2,500 in just 4 hours.
Our next event for Alex’s Wish is…. a Skydive that Dad (Stuart) will be doing on 21st August. We would love you to show your support by sponsoring him. To do so just follow the link below to his just giving page…
https://uk.virginmoneygiving.com/StuartAllen26
June is a busy month for us as students move out which means lots of cleaning and getting properties ready for the next tenants. We have also had a sale agreed on one of our properties, and we have had an offer accepted on our next project. We have also secured a great single let property for one of our clients which they are very happy with. This month has been slightly busier than normal as my amazing mum and dad have taken on another foster child that needs their care, love and support (aren’t they amazing!) so we have been making sure he settles in well. We hope this next month brings us more deals for our clients and the market continues to be strong in both sales and rental.
The outside world is changing all the time making it hard for businesses to keep ahead of the game. If you would like to keep up to date with what we are doing, please follow me on Facebook…