Stamp duty!

bo_drinker

mr.broderick wrote: »

What are you talking about?
Stamp duty is set at 125k

It's 175,000 now Introduced Sept 3rd 2008. Under this figure pays nowt.

mr.broderick

bo_drinker wrote: »

It's 175,000 now Introduced Sept 3rd 2008. Under this figure pays nowt.

Well i missed that, need to start paying attention.

mr.broderick

Is it temporary or permanent?

adr0ck

mr.broderick wrote: »

Is it temporary or permanent?

temporary till sept this year

whathavewedone

Didn't Nigel Lawson suspend stamp duty to try to help the housing market in the late 80s/early 90s? I seem to have a dim recollection of that and of it not working then.

I'm not sure that I agree with the point about mortgage lending not making any difference though. I think that if the banks start lending again things will pick up slowly.

It's not going to happen overnight so there will be further price falls in the meantime. I think the combination of increased affordability and the availability of decent mortgages for borrowers with 10 and 15% deposits will encourage a lot of FTBS. You only have to look at the number of posts on here from people who want to rush into the market now but probably wouldn't get a mortgage as things stand (or at any rate not a good one).

I can't see 100% and 125% mortgages making a comeback but I think a lot of FTBS are aware of that now and are using the time that prices are falling to save a deposit rather than just thinking "you know what I fancy buying a house" and getting one irrespective of their financial circumstances.

baby_boomer

The fall in house prices has permanently reduced stamp duty - especially where the fall has crossed the stupid thresholds. When, in the interests of fairness, will they reform it to work like income tax?

formulaonefan

I will buy if they remove 3% stamp duty. We have been viewing properties and the 3% stamp duty is putting us off increasing our offer. If they say no stamp duty then we will increase offer on properties and hopefully buy one of them.

mean_momma

formulaonefan wrote: »

I will buy if they remove 3% stamp duty....... the 3% stamp duty is putting us off increasing our offer. .

If you buy a £500,000 property in London, the stamp duty would bring the price up to £520,000. If you are buying and selling at the same price range, you effectively trade down for more outlay. I would be encouraged to move if stamp duty was not an issue.

chucky

mean_momma wrote: »

If you buy a £500,000 property in London, the stamp duty would bring the price up to £520,000. If you are buying and selling at the same price range, you effectively trade down for more outlay. I would be encouraged to move if stamp duty was not an issue.

stamp duty would be 4% above £500k

WillowCat

formulaonefan wrote: »

I will buy if they remove 3% stamp duty. We have been viewing properties and the 3% stamp duty is putting us off increasing our offer. If they say no stamp duty then we will increase offer on properties and hopefully buy one of them.

Of course I have a vested interest, (am selling atm) but I hate the distortion in the market that moving from 1% to 3% stamp duty brings. I knew I couldn't sell for £255k - £265k, but I think that's what I could have achieved if it had not been for stamp duty. I'm trying to trade down so the £10k or so I've lost means a huge amount to me.