Stamp Duty Ending

macman

The SDLT holiday has to end at some point. Whether it's 31/3/21, or later, there will still be some people who just miss the date and are disgruntled. The end March cut-off has been known about for many months now, so it's not as if people haven't had adequate warning.

oniongirl

DairyQueen said:

Purchasers have effectively removed an upfront cost in favour of a higher, long-term cost (higher mortgage on which interest payable). The only real winners have been mortgage-free downsizers. 

We offered on a property a week before the announcement. We were always going to put the stamp duty on the mortgage. I don't have £13k lying around, plus solicitors' and agents' fees lying around to pay that up front.

Unfortunately for us, we applied for our mortgage after the announcement and we're still not done, so we may well have to reapply with a higher LTV to cover the stamp duty.

tink_1983

oniongirl said

Unfortunately for us, we applied for our mortgage after the announcement and we're still not done, so we may well have to reapply with a higher LTV to cover the stamp duty.

This is what we have had to do also.
Weve gone back to our advisor and relooked at rates and LTV to free some cash for stamp duty.
It wont stop us moving but missing it will be a kick in the teeth!  

oniongirl

tink_1983 said:

oniongirl said

Unfortunately for us, we applied for our mortgage after the announcement and we're still not done, so we may well have to reapply with a higher LTV to cover the stamp duty.

This is what we have had to do also.
Weve gone back to our advisor and relooked at rates and LTV to free some cash for stamp duty.
It wont stop us moving but missing it will be a kick in the teeth!  

I keep telling myself we had initially budgeted for the extra £70 a month so it shouldn't be a problem, but it's still money I'd rather be putting in to savings. And I suspect rates aren't as good as they were when we applied in August. And it'll mess up our 70:30 LTV that we only just made.

tink_1983

oniongirl said:

tink_1983 said:

oniongirl said

Unfortunately for us, we applied for our mortgage after the announcement and we're still not done, so we may well have to reapply with a higher LTV to cover the stamp duty.

This is what we have had to do also.
Weve gone back to our advisor and relooked at rates and LTV to free some cash for stamp duty.
It wont stop us moving but missing it will be a kick in the teeth!  

I keep telling myself we had initially budgeted for the extra £70 a month so it shouldn't be a problem, but it's still money I'd rather be putting in to savings. And I suspect rates aren't as good as they were when we applied in August. And it'll mess up our 70:30 LTV that we only just made.

Once your in the house itll all be worth it and a distance memory!  This is what I keep reminding myself 

oniongirl

tink_1983 said:

oniongirl said:

tink_1983 said:

oniongirl said

Unfortunately for us, we applied for our mortgage after the announcement and we're still not done, so we may well have to reapply with a higher LTV to cover the stamp duty.

This is what we have had to do also.
Weve gone back to our advisor and relooked at rates and LTV to free some cash for stamp duty.
It wont stop us moving but missing it will be a kick in the teeth!  

I keep telling myself we had initially budgeted for the extra £70 a month so it shouldn't be a problem, but it's still money I'd rather be putting in to savings. And I suspect rates aren't as good as they were when we applied in August. And it'll mess up our 70:30 LTV that we only just made.

Once your in the house itll all be worth it and a distance memory!  This is what I keep reminding myself 

Yes, having spare cash and buying things I wanted whenever I wanted will indeed be a very, VERY distant memory hehehehe. Fingers crossed we make it through before March anyway. It's been going on since August, we can't be that unlucky.

Crashy_Time

If you don`t have the stamp duty available without borrowing it a bank isn`t going to view you as a particularly safe borrower IMO.

Seashell517

macman said:

The SDLT holiday has to end at some point. Whether it's 31/3/21, or later, there will still be some people who just miss the date and are disgruntled. The end March cut-off has been known about for many months now, so it's not as if people haven't had adequate warning.

Keeping my fingers crossed for it be phased out (anyone with a chain formed before date of announcement can complete without paying SDLT for example) or can see trying to find removals in March being impossible. Already half making plans to hire storage and a van so that only the bare minimum has to be moved on the day if I do end up completing in March...

oniongirl

Crashy_Time said:

If you don`t have the stamp duty available without borrowing it a bank isn`t going to view you as a particularly safe borrower IMO.

I have it, and more, available. But I don't think it is best used to pay SDLT when interest on it added to the loan is 1.5%. The cash is there for if one of us loses our jobs suddenly. Or if there's a storm that wrecks the roof. 

Anyway. Our Lender never asked to see our savings. They looked at our income and monthly fixed outgoings, the value of the house and the capital we have in our current property. Why would they care about our savings when we have a 70/30 LTV?

spoovy

I think it'll end as planned. Rishi's mates should've had time to sell off the most overpriced parts of their portfolios by now.