Stamp Duty holiday

Suseka97

I'd like to think so, but given Rishi's recent (rather dire) financial forecast - the government are really going to have to tighten their belts and start bringing in more taxes.   Of course they may well offer some means of tapering off the SDLT freeze, or by reducing the % payable based on when offers were made, or when mortgages were agreed (who knows !!) but I really cannot see them extending it in its current form.

SDLT_Geek

If the Government do offer some extension, it could be to those who exchange contracts prior to the deadline, even if they only complete afterwards.  In tax circles this is sometimes called “grandfathering”.

Suseka97

SDLT_Geek said:

If the Government do offer some extension, it could be to those who exchange contracts prior to the deadline, even if they only complete afterwards.  In tax circles this is sometimes called “grandfathering”.

That's interesting and would be great if it proved to be the case... I'm keeping my fingers crossed because our onward purchase is moving at a snails pace !

spoovy

uralmaid said:

According to todays papers industry experts have written to Rishi Sunak asking for an extension to the holiday period or at the very least confirming that anyone who is currently going through the process of buying and selling will still be able to be able to complete without paying stamp duty if they  commenced during the break period.Cross your fingers everyone

I'll be crossing my fingers that they don't extend it.  Apart from further warping our housing market it deprives the treasury of much needed funds at a time of national crisis; funds that would come from people who could most afford it.

Thrugelmir

The holiday was offered to kick start the housing sector post National lock down.  Next spring no incentive will be required as those that wish to move will be able to do so freely. The purpose of the holiday has been achieved. Next job is to pay for for it. There's no free lunch. 

silverchoice

The problem is this deadline is artificially inflating the housing market. I am trying to sell my house and I have 4 viewings this weekend making about 15 in total in 12 weeks. I think it’s very unlikely anyone buying now will complete by March 31st. After that date the market will collapse!

claire_mc_2

My house is on the market too and I'm starting to worry about this - not for us, as we can pay it if we have to, but that our buyer will pull out if the stamp duty holiday isn't extended. For this reason we'll choose a FTB or landlord/investor if we can.

numbercruncher8

silverchoice said:

The problem is this deadline is artificially inflating the housing market. I am trying to sell my house and I have 4 viewings this weekend making about 15 in total in 12 weeks. I think it’s very unlikely anyone buying now will complete by March 31st. After that date the market will collapse!

Depends where you are of course, but IMO it won't.
Supposedly Brexit would tank the market as well, it did not.

I think there is a lot of exaggeration in the media fueled by vested interests to try and keep the holiday in place. So you get stories of papers facing huge SD bills (the bill for the average property in the country is pretty modest) and people claiming they can't afford to move without the holiday (IMO only true in a few cases).

If the deadline passes without extension I bet only a few transactions fall through - after all people will have sunk costs by then, and buying again in the future will see them having to pay those costs again, and also the same stamp duty.

AskAsk

is the deadline for exchange or completion?  reading articles on the net, it seems to indicate completion date?

davidmcn

AskAsk said:

is the deadline for exchange or completion?  reading articles on the net, it seems to indicate completion date?

Completion, the exchange date is irrelevant.