The Spring budget was announced 3rd March 2021 and with it the Chancellor Rishi Sunak outlined his plans to get England back on track as we come out of the pandemic. Last year after lockdown 1.0 the plan was to implement Stamp duty until March 31 2021, thankfully for home movers it has been extended.
The Chancellor announced many things as well as stamp duty to help the country and bring lots of hope including Furlough extensions, £1.65bn to help the rollout of Covid vaccinations, he announced new measures to help business and jobs through the pandemic and to support the UK's long-term economic recovery and a series of tax-raising plans to help rebalance the public finances.
Here’s what the Chancellor announced regarding helping home movers:
Until 30 June 2021, no stamp duty will be charged on a residential property bought for up to £500,000.
Until 30 September 2021, no stamp duty will be charged on a residential property bought for up to £250,000.
From 1 October 2021, the stamp duty rate returns to pre-Covid-19 thresholds.
This is great news
For people who have been delayed or not completed it means they will not miss out on the savings the holiday is providing, which without the extension would have meant missing the deadline. The savings are thousands of pounds and it means their current moving process won't be disturbed.
For people looking to buy during and after lockdown 3.0 it means they will now also be able to save thousands of pounds, all the way through to September for properties valued upto £250,000. This will prevent a cliff hanger and sales falling through for chains if they hadn't made the date.
We advise to make sure you make the most of the stamp duty extension for residential property bought for up to £500,000 (cut of 30th June) you are on the market by the 12th March, this doesnt actually give you much time to take advantage of the cut, so GET MOVING!
95% mortgages were announced
For people planning to buy a home but struggling to save large deposits Sunak announced a Mortgage Guarantee scheme that means homebuyers will be able to access 95% mortgages, backed by the Government, from High Street banks and lenders.
This is great news for first time buyers & second steppers.
The chancellor said:
“This will give people the chance to go from Generation Rent to Generation Buy.”
If the Spring Budget has encouraged you to proceed with your moving plans, we’d love to help you. If you have any questions or would like advice, please call us on 01772 952393
If you have a property to sell before you buy, get your local love2move agent out to talk through what exactly this could mean for you by filling in this quick form: www.love2move.co.uk/book-a-free-valuation (no obligation) or click the button below to book in.