Jul 5, 2016
What’s happened in the property sector so far?
We’re only halfway through the year and so much has happened in the property sector, from the Budget 2016 speech to the EU referendum. We’ve outlined some of the most important changes to the property sector this year.
Stamp duty surcharge – In the Budget 2016 speech by chancellor George Osborne, the 3% increase in stamp duty surcharge was announced. This makes investing in the buy-to-let sector less attractive in attempt to drive down house prices to help first time buyers get their foot on the property ladder.
Tax relief cap announced – By 2021, landlords will only receive a basic rate reduction from their income tax liability. They will no longer be able to deduct finance costs from property income. This will be gradually rolled out from 2017.
Right to Rent – From February landlords or letting agents on their behalf are responsible for checking the immigration status of prospective tenants. Landlords/acting agents who do not comply face a fine and in extreme cases even a custodial sentence.
EU referendum – Arguably the biggest influence on changes in the property sector was the EU referendum. Buyers, sellers and investors alike nervously anticipated the outcome and how it would affect the property market.
A lot has happened within 6 months and hopefully the next 6 months will be positive and prosperous for the property sector. We can help you stay ahead of your competition no matter what the market conditions are like. For a free consultation call 0161 672 7820 or email hello@propertystream.co