The Chancellor of the Exchequer has recently delivered his Autumn budget – was there any help in there for homebuyers? Here are the main points related to housing…
Stamp duty was abolished on homes up to £300,000 for First Time Buyers in last year’s Autumn Budget. An action which has so far helped 121,500 people, taking the number of first time buyers successfully buying property to an 11 year high. The newest budget measures have increased the abolition of stamp duty to first time buyers of shared ownership properties as well. This measure will apply to all shared ownership homes, up to £500,000. The good news for some is that this will be backdated for anyone who has bought one since last year’s Budget, perhaps offering an unexpected windfall!
The Help to Buy initiative, which helps people buying some new build homes has been extended. The initiative, which offers a deposit loan of 20% paid by the government for eligible properties has been in place since 2013. It had been due to end in 2021. This has now been extended until 2023. The initiative has so far helped over 300,000 first time buyers, according to data from the Ministry of Housing, Communities & Local Government (MHCLG).
Whether you are a first time buyer or not, Seddons Mortgage Department can advise you on Help to Buy and shared equity Mortgages. As part of the Mortgage Advice Bureau, we have access to a wide range of mortgage products from more than 90 lenders.
Another new initiative, designed to help keep the property market stimulated and provide more homes, sees the creation of a fund to help local councils develop their main retail zones. Part of this money could be used to convert empty or unused retail and commercial spaces into homes. This was announced along with the promise of a consultation into how to make the conversion of commercial property to residential easier. It is estimated that there are 300,000 to 400,000 empty commercial spaces which could be converted into homes over shops in high streets countrywide. Good news for property developers perhaps.
The Chancellor also promised an extra £500m for the Housing Infrastructure Fund – which is a fund which local councils can apply to for help with building homes. He said that this additional money should help build 650,000 more homes.
If you are considering purchasing a new home and require mortgage advice or need help selling, please contact your local Seddons branch for reliable and honest advice.