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Stamp duty cut

Journalist: Anna Sagar, Mortgage Solutions / Specialist Lending Solutions

ended 24. September 2022

Looking to speak to mortgage brokers about Stamp Duty cut.

  1. Which cohorts of borrowers will benefit from this? 
  2. Will this have an impact on existing transactions? Have you had customers get in touch to see if they can renegotiate?
  3. What will the impact be on the mortgage market overall?

4 responses from the Newspage community

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Rob Peters
Principal at Simple Fast Mortgage
First time buyers will be the biggest winners and could be around £11,000 better off from today's changes to stamp duty designed to stimulate the property market. The tax starting threshold for first time buyers will be lifted from £300,000 to £425,000. This will be applicable to properties valued at £625,000 (previously £500,000). Next time buyers will also benefit albeit it to a lessor degree. Next time buyers will benefit from no stamp duty to be paid on properties up to £250,000 and the first time buyer
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Imran Hussain
Director at Harmony Financial Services
The biggest people this will benefit will be families looking to upsize or downsize with the thresholds moving up, any first-time buyers near the border of the M25 can now look for properties above £300,000 as long as it's affordable without the worry of paying a penny for stamp duty. I have heard of several transactions being delayed pending this announcement, and a few people have saved themselves a few thousands of pounds, but I do expect some people to get greedy and ask for more money for their property which will only come back to bite them in the arse with surveyors now being more brutal with valuations than ever before, the impact on the mortgage market will be minimal just rates and products being chopped and changed faster than a dog with a bone.
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Scott Taylor-Barr
Principal Adviser at Barnsdale Financial Management
As the SDLT changes appear to eradicate the previous 2% banding by increasing the nil rate band all the way up to £250000, it means pretty much everyone benefits by the same amount: £2500. I'm grateful for the change being permanent, rather than another temporary measure that puts everyone under ridiculous pressure and time constraints. I have had a number of clients look at postponing completions until after today announcment, just in case, but (as yet) no one is telling me of renegotiations around an already agreed selling price.
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Mark Robinson
Managing Director at Albion Forest Mortgages
This will undoubtedly have an impact on the housing market, with people considering moving house more often. In turn this will drive up house prices across the market. With less penalty for moving house I can see more people will move going forward. This is obviously the intention as that will help Estate agents, Home builders, solicitors, mortgage brokers etc etc. The first question I had this morning was 'how many people will put off completion now so that they pay less stamp duty' I imagine solicitors have been inundated with this question all day!