I fear the fallout continues following the Chancellor’s announcement of a 3% increase in Stamp Duty for buy-to-let properties and second homes in his Autumn Statement.
The increase is due to be introduced in April and there is speculation that small landlords will rush to purchase properties to let before that deadline.
George Osborne has received much criticism from landlords and letting agents. Landlords provide a valuable service in the property market by providing affordable homes for those unable to afford to buy. Past Conservative governments have valued these entrepreneurs and Osborne appears to be making a risky political gamble by alienating this sector.
However, there may be a loophole which could help small landlords avoid this punitive increase. Companies who own at least fifteen rented properties are exempt from the increase. There is speculation that some smaller landlords, owning just one or two rented properties each, may band together to form a corporation owning fifteen or more and thus exempt themselves from the ruling.
I predict interesting times ahead in the letting market!
If you are a landlord considering letting a property or a tenant looking for a new home why not give me, Eddie Carter, a call on 01684 292154 to discuss your requirements. Alternatively take a look around our website. We specialise in the Tewkesbury, Cheltenham, Evesham, Gloucester, Malvern and Worcester areas.
Charles Carter Lettings
Independent – Specialist – Local