With the Chancellor announcing a stamp duty holiday for all buyers, the news is particularly welcome for those emerging from lockdown in the city who realise they need a second home in the country with a garden.
Such a property will be particularly welcome if we have another lockdown and buyers will now have more money at their disposal to achieve their dream. In his summer economic statement, Rishi Sunak announced that there would be no stamp duty charged on the first £500,000 of a property’s purchase price until 31 March 2021. Usually such stamp duty concessions only apply to first-time buyers but in an effort to increase transactions across the market and subsequently boost the economy, no such restrictions apply this time around. While second home buyers and investors will still have to pay the 3 per cent stamp duty surcharge on the entire purchase price, that’s still a saving of up to £15,000, which could go some way towards your next purchase.
We expect that many buyers will put that saving towards a garden in the suburbs or even further afield. Research suggests that there is a rising demand for properties with gardens, according to the Royal Institution of Chartered Surveyors (RICS), with 81 per cent of estate agents forecasting an increase in demand for such properties over the next two years. Nearly three-quarters of agents predict an increase in demand for homes located near green spaces, while 68 per cent believe properties with greater private and less communal space will also become more desirable.
With mortgage rates low and likely to stay that way for some time, coupled with the stamp duty holiday, it could be a good time to make that move. AWS Financial Services can advise as to the right finance for your circumstances as we are whole-of-market brokers – please get in touch for more information.