Member Article

New buyers beat Stamp Duty Holiday

Increasing numbers of first time buyers in the North East are looking to beat the stamp duty holiday, according to the latest RICS survey.

Last month 5% more surveyors reporting an increase in newly agreed sales since the start of the year, a trend which has been attributed to the stamp duty exemption which ends of the 24th March on properties under £250,000.

Michael Newey, RICS housing spokesperson, commented: “With first time buyers no longer exempt from stamp duty as of the end of March, it seems that some may be looking to purchase homes before the deadline and, as a result, surveyors are relatively optimistic for the coming months.

“However, many problems with the market still exist and the lack of affordable mortgage finance is still preventing many from getting onto the property ladder. “

Respondents to the survey also felt optimistic in the near term, and almost a quarter expect transaction levels to increase over the next quarter.Two thirds more surveyors reported increases rather than decreases in new homes coming onto the market, the sixth consecutive reading for new regional instructions.

There has also been an increase in buyer demand, with 18% of surveyors witnessing a rise rather than a fall in new enquiries. Nonetheless, the market is still being held back by the lack of affordable mortgage finance.

Richard Sayer, Rook Matthews Sayer added: “A better start to the New Year than in recent times with encouraging listings and sales being achieved.

“Milder weather may have helped but the grass roots opinions seem to be more encouraging than the relentlessly depressing media commentary.

“Expectations are for broadly level property prices to remain with a small increase in activity through quarter one.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .