Stamp Duty Ending

Crashy_Time

jimmyjammy001 said:

What I find disconcerting is that something like 50% of people have said  they will have to abort their house sale if it goes pass the March deadline, people have spent what they have saved in stamp duty on a house and have absolutely no emergency savings in place to deal with emergency expenses like just in case they don't complete by the deadline, crazy!

But if the seller puts it back on the market again it's unlikely they will get what they wanted pre stamp duty holiday as people will now have less to spend on the house they want and will need to factor in paying the stamp duty. So it could work out buyers haggling with sellers to get the stamp duty equivalent knocked off the price or they pull out. 

Wow, just shows how stretched people really are?

Angela_D_3

Crashy_Time said:

jimmyjammy001 said:

What I find disconcerting is that something like 50% of people have said  they will have to abort their house sale if it goes pass the March deadline, people have spent what they have saved in stamp duty on a house and have absolutely no emergency savings in place to deal with emergency expenses like just in case they don't complete by the deadline, crazy!

But if the seller puts it back on the market again it's unlikely they will get what they wanted pre stamp duty holiday as people will now have less to spend on the house they want and will need to factor in paying the stamp duty. So it could work out buyers haggling with sellers to get the stamp duty equivalent knocked off the price or they pull out. 

Wow, just shows how stretched people really are?

Or how lovely itll be to be able to buy nice things gor the house instead of paying tax with it. 

Im buying a house because i need somewhere to live.  If i pay SD which i can but if i dont thsts £3000 ill send on decor and on lical trades people who in turn will psy tax on that income.  I dont wish to be unkind or rude.  

But inflation is predicted... if thats the case buying was a great idea.  If theres a crash id need more than a 20% deposit so i couldnt benefit anyway.  Theres no risk here.  Id imagine lots of people are in the same situation.  

Crashy_Time

Angela_D_3 said:

Crashy_Time said:

jimmyjammy001 said:

What I find disconcerting is that something like 50% of people have said  they will have to abort their house sale if it goes pass the March deadline, people have spent what they have saved in stamp duty on a house and have absolutely no emergency savings in place to deal with emergency expenses like just in case they don't complete by the deadline, crazy!

But if the seller puts it back on the market again it's unlikely they will get what they wanted pre stamp duty holiday as people will now have less to spend on the house they want and will need to factor in paying the stamp duty. So it could work out buyers haggling with sellers to get the stamp duty equivalent knocked off the price or they pull out. 

Wow, just shows how stretched people really are?

Or how lovely itll be to be able to buy nice things gor the house instead of paying tax with it. 

Im buying a house because i need somewhere to live.  If i pay SD which i can but if i dont thsts £3000 ill send on decor and on lical trades people who in turn will psy tax on that income.  I dont wish to be unkind or rude.  

But inflation is predicted... if thats the case buying was a great idea.  If theres a crash id need more than a 20% deposit so i couldnt benefit anyway.  Theres no risk here.  Id imagine lots of people are in the same situation.  

General inflation will raise interest rates, and that along with other rising costs will make it harder to service mortgage debt, and if there is a crash lending won`t stop (all they have done is try to keep lending since the 2008 crisis!) and it is unlikely that 20% deposits will be required when property prices are coming down?

mrlegend123

the FED (US Central Bank) now own 1/3 of all US mortgages. It may be the same for the UK in regards to Bank of England holding the risk. House prices won't go down so property tax is ideal. More money down south! 

Angela_D_3

Crashy_Time said:

Angela_D_3 said:

Crashy_Time said:

jimmyjammy001 said:

What I find disconcerting is that something like 50% of people have said  they will have to abort their house sale if it goes pass the March deadline, people have spent what they have saved in stamp duty on a house and have absolutely no emergency savings in place to deal with emergency expenses like just in case they don't complete by the deadline, crazy!

But if the seller puts it back on the market again it's unlikely they will get what they wanted pre stamp duty holiday as people will now have less to spend on the house they want and will need to factor in paying the stamp duty. So it could work out buyers haggling with sellers to get the stamp duty equivalent knocked off the price or they pull out. 

Wow, just shows how stretched people really are?

Or how lovely itll be to be able to buy nice things gor the house instead of paying tax with it. 

Im buying a house because i need somewhere to live.  If i pay SD which i can but if i dont thsts £3000 ill send on decor and on lical trades people who in turn will psy tax on that income.  I dont wish to be unkind or rude.  

But inflation is predicted... if thats the case buying was a great idea.  If theres a crash id need more than a 20% deposit so i couldnt benefit anyway.  Theres no risk here.  Id imagine lots of people are in the same situation.  

General inflation will raise interest rates, and that along with other rising costs will make it harder to service mortgage debt, and if there is a crash lending won`t stop (all they have done is try to keep lending since the 2008 crisis!) and it is unlikely that 20% deposits will be required when property prices are coming down?

Interest rates may well rise hence 5 year deals at 2.5% are being snapped up.  Ive gone for 2 at 2.65% making my 3 bed semi £550 a month repayment.... to rent the same is £950 pcm 

Angela_D_3

all they have done is try to keep lending since the 2008 crisis!

So you think they’ll be ok with allowing all that debt to go down the toilet ? 

Also repossession used to blight ypur credit for 12 years,  now its 6,  people will jump back on the merry go round as soon as they can if kicked off.  

I agree we are in for tough times but neither housing to rent or buy is going to get cheaper.  

SpiderLegs

Crashy_Time said:

Angela_D_3 said:

Crashy_Time said:

jimmyjammy001 said:

What I find disconcerting is that something like 50% of people have said  they will have to abort their house sale if it goes pass the March deadline, people have spent what they have saved in stamp duty on a house and have absolutely no emergency savings in place to deal with emergency expenses like just in case they don't complete by the deadline, crazy!

But if the seller puts it back on the market again it's unlikely they will get what they wanted pre stamp duty holiday as people will now have less to spend on the house they want and will need to factor in paying the stamp duty. So it could work out buyers haggling with sellers to get the stamp duty equivalent knocked off the price or they pull out. 

Wow, just shows how stretched people really are?

Or how lovely itll be to be able to buy nice things gor the house instead of paying tax with it. 

Im buying a house because i need somewhere to live.  If i pay SD which i can but if i dont thsts £3000 ill send on decor and on lical trades people who in turn will psy tax on that income.  I dont wish to be unkind or rude.  

But inflation is predicted... if thats the case buying was a great idea.  If theres a crash id need more than a 20% deposit so i couldnt benefit anyway.  Theres no risk here.  Id imagine lots of people are in the same situation.  

General inflation will raise interest rates, and that along with other rising costs will make it harder to service mortgage debt, and if there is a crash lending won`t stop (all they have done is try to keep lending since the 2008 crisis!) and it is unlikely that 20% deposits will be required when property prices are coming down?

When do you think interest rates will rise?

Crashy_Time

SpiderLegs said:

Crashy_Time said:

Angela_D_3 said:

Crashy_Time said:

jimmyjammy001 said:

What I find disconcerting is that something like 50% of people have said  they will have to abort their house sale if it goes pass the March deadline, people have spent what they have saved in stamp duty on a house and have absolutely no emergency savings in place to deal with emergency expenses like just in case they don't complete by the deadline, crazy!

But if the seller puts it back on the market again it's unlikely they will get what they wanted pre stamp duty holiday as people will now have less to spend on the house they want and will need to factor in paying the stamp duty. So it could work out buyers haggling with sellers to get the stamp duty equivalent knocked off the price or they pull out. 

Wow, just shows how stretched people really are?

Or how lovely itll be to be able to buy nice things gor the house instead of paying tax with it. 

Im buying a house because i need somewhere to live.  If i pay SD which i can but if i dont thsts £3000 ill send on decor and on lical trades people who in turn will psy tax on that income.  I dont wish to be unkind or rude.  

But inflation is predicted... if thats the case buying was a great idea.  If theres a crash id need more than a 20% deposit so i couldnt benefit anyway.  Theres no risk here.  Id imagine lots of people are in the same situation.  

General inflation will raise interest rates, and that along with other rising costs will make it harder to service mortgage debt, and if there is a crash lending won`t stop (all they have done is try to keep lending since the 2008 crisis!) and it is unlikely that 20% deposits will be required when property prices are coming down?

When do you think interest rates will rise?

When do you think general inflation will rise?

Crashy_Time

Angela_D_3 said:

all they have done is try to keep lending since the 2008 crisis!

So you think they’ll be ok with allowing all that debt to go down the toilet ? 

Also repossession used to blight ypur credit for 12 years,  now its 6,  people will jump back on the merry go round as soon as they can if kicked off.  

I agree we are in for tough times but neither housing to rent or buy is going to get cheaper.  

Most of the debt will still be serviced, even in negative equity, the bankers knew this when they picked a highly necessary highly emotive asset class for their biggest credit bubble, house prices can go down the toilet while existing property debt still gets paid.

Crashy_Time

...On the other hand...if things get so bad that debt defaults start rising then things could get really interesting on the mortgage rate front........the difference today in comparison to previous baby bubble bursts is that a lot of people went neck deep in BTL/2nd homes/holiday homes/HTB/SO/BTL, AirBnB, more BTL, more AirBnB, etc.etc.