Gloucester housebuilder welcomes stamp duty holiday
By Matt Hall | 10th July 2020
This week's announcement of a stamp duty holiday on all property sales up to the value of £500,000 has been welcomed by Barnwood-based housebuilder Newland Homes.
The changes to stamp duty come at a time when demand for new build homes is increasing.
According to property portal Zoopla, demand increased 66 per cent in the six weeks following the reopening of the property market after lockdown. The revision to stamp duty will be further wind in the sails for people who want to move, with homes up to the value of half a million pounds now exempt from duty. The previous threshold was £125,000.
A broad range of Newland Homes' properties available for sale will now come under the stamp duty exemption, resulting in a possible saving of up to circa £15,000 for purchasers with immediate effect.
Erica Povey, field sales manager for Newland Homes believes that this is a crucial time for housebuilders: "The industry is a massive driver of the UK economy, creating and sustaining jobs and boosting investment in infrastructure and community facilities. At a time when our homes have become our sanctuaries, the stamp duty holiday gives people more money in their pockets to furnish their home in style and comfort."
In further research by the House Builders Federation, 55 per cent of people polled stated that, post-lockdown, they now value their home space more than ever.
The new stamp duty holiday comes to an end on the March 31st 2021, coinciding with changes to the eligibility criteria of the Government's Help to Buy scheme. Under changes scheduled to be introduced from April 2021, Help to Buy equity loans will be available to first time buyers only. In addition, regional price caps will be introduced to sales prices. For the South West the regional price cap will be £349,000.
Neil Alkins, director of the Mortgage Bureau, who specialises in mortgages for new build properties, describes the past few weeks as "ridiculously busy", with enthusiasm to move only set to increase with the latest changes to stamp duty.
He said: "We are recruiting and increasing our workforce by ten per cent in order to keep pace with the demand. The stamp duty holiday and the revision of the Help to Buy criteria means this is a golden time for anyone looking to move."
Newland Homes is offering tailor-made viewings by appointment at all of its nine development sites across the South West region, with COVID-19 protocols and procedures in place.
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