Rishi Sunak's Stamp Duty Holiday FAQs

[Sak2020]

I'm sure many of us are in the same boat in wondering how the Chancellor's announcement of a Stamp Duty Holiday will impact us over the course of the year.

 

[Longterminvestor]

This can only be good news in the short-term by taking a layer of cost away from property investment. What will happen next March when the stamp duty holiday expires is anybody's guess but the hope would be the economy will be naturally stronger. Obviously, the main concern is a second wave of coronavirus and the devastating impact this would have on not only health and well-being and also the economy. We live in uncertain times but the UK government seems to be doing as much as it can to assist?

 

[chrood42]

It's a kick in the teeth for first-time buyers. I am a FTB looking to possibly spend about 300k so would have got free stamp duty anyway but this holiday will presumably raise the prices slightly. I'm considering going for something cheaper because they've introduced it as I now feel I wouldn't get the first time buyer benefit that I would have had.

 

[lookinginvest]

Interesting comment, this has taken away a little of the benefits of being a first-time buyer in the current market. However, are there not government schemes available which allow you to put down as little as 5% as a deposit?

 

[chrood42]

Interesting comment, this has taken away a little of the benefits of being a first-time buyer in the current market. However, are there not government schemes available which allow you to put down as little as 5% as a deposit?

Yeah, it would be nice if they said they'd credit first time buyers with what they would have saved.

Yes there is for new builds. I personally have quite a large deposit anyway so it isn't so helpful for me. The issue for me is that it is harder to get a mortgage as I'm self-employed and I stopped working from March to May because I was living with a vulnerable person and banks generally want to see income on the last 3 bank statements. It makes me feel furious because in mid-March Boris Johnson said "no one should be penalised for doing the right thing". I thought that I was doing the right thing by not working from March to May but I am being penalised by banks being strict with mortgages. So the message is that if I want the best mortgage now, I should have been potentially putting lives at risk and working through the lockdown!

 

[diyhelp]

I know exactly what you mean because I am also self-employed and didn't get any assistance from the government even though I lost a couple of customers. I have just read today that the government is giving an extra two weeks universal credit to those on the benefit system. It may be worth approaching a mortgage broker to see if they can find a solution for your problems? Surely you can't the only person out there with this type of problem?

 

[chrood42]

I know exactly what you mean because I am also self-employed and didn't get any assistance from the government even though I lost a couple of customers. I have just read today that the government is giving an extra two weeks universal credit to those on the benefit system. It may be worth approaching a mortgage broker to see if they can find a solution for your problems? Surely you can't the only person out there with this type of problem?

Yeah I am looking into it. But honestly, Boris Johnson said "no one should be penalised for doing the right thing" and I trusted him. But now the message that I have taken is that if you want a mortgage, you should have kept working through the pandemic if at all possible even if it puts lives at risks. So by not stopping the lenders being so strict, the government is potentially putting lives at risk if there is another pandemic.