First time buyers are being urged to snap up properties before the stamp duty holiday is over in March next year.
With only three months to go until a 3% rate could be thrown on first time buyers, the National Association of Estate Agents is urging potential homeowners to act quickly to avoid paying the stamp duty land tax.
Peter Bolton King, Chief Executive of the NAEA, said; “From March 2012 the holiday is well and truly over for first time buyers. Once the Government ends the tax exemption, FTBs will face a tax of three per cent on all home purchases over £250,000.î
Until 24th March 2012, first time buyers can purchase a property up to the value of £250,000 without paying any stamp duty.
“With many first time buyers trying to purchase their first home before the tax exemption deadline, our members will be working closely with those first time buyers who are able to purchase before March 2012 to guide them through a difficult and challenging market place.”
No government aid
Despite the creation of government reforms designed to inject some life into the UK housing market, efforts could be tarnished with stamp duty set to be frozen for first time buyers in March 2012.
The Council of Mortgage lenders (CML) predicts that there will ne a rush to buy before the end of the stamp duty holiday.
Paul Smee, CML Director General, said; “It is disappointing to see the government withdrawing the stamp duty concession that currently benefits first-time buyers. While the concession may not have stimulated additional demand, it was a significant help to home-owners entering the market and its removal runs counter to the themes of the new housing strategy.î
ìIt is likely that we will see a bunching of eligible first-time buyer transactions early next March to beat the expiry date on the concession.”
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