Landlords across the nation have been impacted by a raft of legislative changes in recent times and so they will be delighted to see that Capital Gains Tax increases have not been applied to the sale of residential property portfolios.
Weโve already seen buy-to-let investors return to the lettings market and todayโs Budget should reassure many more to remain within the sector.
This is good news for tenants across the capital in particular, as it will deliver desperately needed additional stock back to the market.
That said, the additional stamp duty charged on the purchase of second homes will add to the upfront costs of investing for those looking to grow their portfolios, however, the scale of the increase is unlikely to deter landlords considering the long term gains of this asset class.
Homebuyers will be understandably disappointed, but not surprised, about the lack of a stamp duty relief extension, with the current thresholds set to revert back as of March next year. However, as they have already factored this into their purchase plans we do not expect it to impact the strong demand weโre currently seeing in the market.
Today may not have been the Autumn Statement we were hoping for, but it has been what we largely expected.
As a result, we can expect the heightened level of market activity seen this year to continue, with market momentum strengthening as we head into 2025, further elevated by forecast interest rate reductions.
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