Friday 4 December 2015

Another 3% to pay if you’re ready to put spare cash into bricks & mortar for the future…


Last week’s Autumn statement brought into sharp focus the government’s need to raise additional revenue without touching the Holy Trinity of income tax, VAT or national insurance contributions and at the same time not upsetting large swathes of the electorate. So with second home ownership being embarassingly buoyant in and around Westminster, there lies a one billion pound solution.



Or is it? The extra three per cent stamp duty (in addition to the basic level) will hit ordinary landlords where it will hurt and not just in the wealthy hinterlands of the South East. With massive calls for additional social housing which the private rented sector props up more than any other agency, it will inevitably have repercussions. Rents may rise and in the longer term, the government may face calls to increase housing contributions as a result. There’s also a strong possibility of a rush to buy before next April 1st and with competition from first time buyers and supply at relatively low levels, prices could be pushed up. Time will tell in the end, but the jury is resoundingly out. For our Buy to Let propositions, go to www.lexallan.co.uk and click Let to Buy.


















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