POOR BUDGET WILL OVERSTOCK AND PUSH HOUSE PRICES DOWN 10-15%

The budget failed to address the stamp duty levy at £250k where the levy jumps from 1% to 3%, as such this is stopping houses from rising and pulling prices that should be over the £250k level to offers lower. The FTB exemption upto £250k only works if the FTB is not with a partner who has brought before, quite unlikely with the average FTB at 37 years old. A FTB incentive should have been introduced to help FTBs raise their deposit to release upward chains, for which those upward in the chains stamp duty would pay for such a scheme, but NO. The government suspended HIPs which was a great move, but with lenders slow to lend agents are reporting street price wars where the lowest price will sell. With almost a 1/3rd post HIP homes additionally on the market, prices may be driven down as low as 10-15% further this year. We may see a return of repossessions as lending gets even tighter based on less equity in homes. This was a VERY POOR budget. To restart the housing market would create more work and release mortgage funding from those downsizing which could then be reallocated to those wanting to upsize or borrow more. -- Regards, Trevor Mealham INEA mls (The Independent Network of Estate Agents) T: 01233 633 633 M: 07767 366 399

Posted by: Trevor Mealham INEA