We are, still, looking for our first family home. That place to call our own. It seems a constant struggle: deposits, stamp duty and solicitors fees. It seems to be a never ending list of things to pay out for. All whilst trying to raise a family and be comfortable. The Autumn budget sees that stamp duty is being dropped for properties under £300,000. What does this mean though?
My husband has a really good theory, I am not one for looking at things pessimistically but it does sound logical: so this new stamp duty lift means that all properties under £300,000 do not need stamp duty paying for first-time buyers. The old legislation meant stamp duty was capped at properties from £250,000 (I think). Now a sellers trick would be to put the house up for sale around £15,000 more than that capped amount so to entice buyers. Giving them room for negotiation. It was almost like this capped price was a written rule for selling a house. It also sat quite well for us as we are using a Help to buy ISA.
Now, I am worried that with this house prices are going to sky rocket because there is no lower cap. Houses for first time buyers, in my budget, will sky rocket. Mainly because there is nothing holding them back now. No price to flit around to attract families like us. I hope it doesn’t, but it is a real possibility.
Unfortunately my husband has owned his own house before, so we do not even qualify for this wonderful new piece of legislation. We will still have to pay it. But the worry that house prices are going to rise because of this announcement, means we may never get to buy our first family home. Not for a long time to come…