You are here: Home - Mortgages - First Time Buyer - News -

Sales to first-time buyers are up since Stamp Duty was scrapped

0
Written by: Christina Hoghton
27/03/2018
While the Chancellors move has benefited many, more help is still needed

Sales to first-time buyers rose in February, according to NAEA Propertymark.

The trade body said that the Chancellor’s first-time buyer stamp duty relief is having the desired effect, as sales to the group rose to 29% in February, from 27% in January. Year on year, first-time buyer sales were the highest since February 2015.

Housing market

The average number of sales agreed per estate agency branch rose from seven in January to eight last month – the highest amount since October 2017, said the NAEA. The number of prospective house-hunters fell by 16% in February – from 367 registered per branch to 309. Year on year this is down by a significant 28%.

In line with demand, the number of properties available for sale per branch dropped from 36 in January to 35 in February. Three-quarters of properties sold for less than the original asking price in February, with only 4% of sellers getting more than the original asking price.

Mark Hayward, chief executive of NAEA Propertymark, said: “Since the Chancellor cut stamp duty for first-time buyers, there have been a good level of sales to the group, but they haven’t rocketed. Our members have noticed FTBs holding off on making purchases since the rule was introduced – typically outside of London – opting instead to save for longer to maximise the full stamp duty relief.

“This may be one reason why sales are up but not as high as we might expect; the other reason is that the cost of buying is still very high, and FTBs are still finding it difficult to save for their deposit. As the cost of living continues to rise – with consumer price inflation standing at 2.5% in February – we still have a long way to go to make the dream of owning a home accessible to all, but this is definitely a step in the right direction.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
2204713-tablet-in-hospital
Top tips for buying income protection

Do you need to protect your income in case of the unexpected? Research group Defaqto gives its top tips for...

Close