Local property expert Andrew Cardwell, the managing director of award winning Cardwells estate agents, shares some of the latest property news…
As we continue to move through, and hopefully out of this pandemic, as 2021 progresses, the Chancellor, Rishi Sunak recently delivered his Spring Budget which included help for those on Universal Credit, an extension to the Furlough scheme, extra funding for the roll out of the vaccinations and help for the self employed. Additionally he also delivered good news, on two fronts, for those people who are considering buying a new home.
Firstly, he confirmed that the Stamp Duty Land Tax (the tax you pay when you buy a property) holiday will be extended in its current form by three months. This means that if you were to buy a new home before the 30th June 2021 at a price of less than £500,000 you would have no Stamp Duty tax to pay. This can be a saving of up to £15,000.
From the 1st of July until the end of September the nil rate banding will reduce from £500,000 to £250,000, meaning that any purchase at a price of less than £250,000 will be free of stamp duty tax. This incentive really has created an excellent opportunity for the buyer in Bury and all over the UK to make a significant saving when purchasing a new home.
In addition to the stamp duty incentive Mr Sunak also announced a “Mortgage Guarantee” policy. Through which lenders (banks and building societies) who provide mortgages to homebuyers who can only afford a 5% deposit will benefit from a Government Guarantee on those mortgages. This will give the lenders greater security and confidence to lend money for the purchase of property. The aim of the policy is to, basically, allow people who can’t afford a large deposit to still have the opportunity to buy their own home. It is thought that there will be a variety of lenders offering 95% mortgages from around April 2021.
If you are considering purchasing a new home, this may well be an ideal time to make the move to take advantage of these new opportunities. If you are considering selling, these incentives to buyers will hopefully mean that there could be more potential buyers in the market.
Please give me or my colleagues a call on 0161 761 1215 and we would be pleased to help get your property sold. If you are passing through the town centre, maybe call in and see us, we are on Market Street opposite the Met.