The Chancellor Philip Hammond has scrapped stamp duty for first-time buyers on properties worth up to £300,000.
Speculation was rife in the media in the run up to the announcement that the tax would be scrapped altogether for FTBs to make home ownership more affordable for young people in the UK.
The Chancellor has said that in more expensive areas “such as London”, stamp duty will be abolished on the first £300,000 of properties valued at up to £500,000.
Stamp duty adds between two and 10 per cent to the price of a home, and while raising a deposit continues to be an issue for FTBs, this will help affordability once that hurdle is jumped.
Solving the UK’s housing crisis was set to be one of the main focuses of the budget, and this move to cut first property stamp duty should go some way to increase transaction levels across the country.
Secure Trust managing director Esther Morley says: “The changes to Stamp Duty for first time buyers is good news for those looking to get on the property ladder. The initiative has been in need of review for some time, so it is encouraging to see measures taken to mitigate its impact.”