With the next budget insight, it will be interesting to see what the chancellor does in relation to property. Enable’s IFA’s in Bishops Stortford know that property sits at the heart of many of our client’s financial planning. It is wise to keep on top of all and any changes in the financial implications of owning property.
Many like David Westgate, group chief executive of Andrews Property Group would like to see property taken out of politics. The system as it stands particularly in respect to Stamp Duty, he says “is simply not fit for purpose. It’s detracting investors on the one hand and preventing first-time buyers from actually buying, on the other. The sum of these parts is a slow down in the market, but this is not terminal and it can be reversed.”
To get the UK’s property market moving again the issues of affordability surely need to be addressed. Stamp Duty in its current form places too great an upfront cost to what is an already costly expense. What could the options be?
David Westgate says maybe a flat rate of Stamp Duty. “A rate of 1% across the board was the magic figure that initially sprung to mind. Frustratingly, a closer examination of the figures suggests that may not be the solution and any such flat rate may instead need to be closer to 3.7%, which certainly wouldn’t be well received.”
Instead, perhaps he says “a reconsideration of the boundaries at which stamp duty comes in to play should be made. Increasing each by £100,000, could have a positive effect across the board and stimulate movement in the market.”As we approach Budget day or soon after perhaps you might want to review your property investments, Enable’s IFAs in
Bishops Stortford can help you look at your options.