Should stamp duty be a buyers or sellers tax?

Should stamp duty be a buyers or sellers tax?

The Association of Mortgage Intermediaries believes work could be done to review whether stamp duty could become a tax paid by the property seller rather than buyer.

According to the AMI, it has heard anecdotally that older homeowners have the appetite to downsize but either cannot find appropriate housing in the right location or delay moving due to the "disproportionately high costs involved".

In its Quarterly Economic Bulletin, the AMI says that "stamp duty is the lion’s share of these costs, particularly in London and the South East where house prices have rocketed".


Another consideration would be whether sellers over state pension age could make one sale and purchase and defer the final stamp duty payment until final sale of that purchased property.

The AMI admits "this is unlikely to be agreed in the short-term given pressure on UK finances but could have a significant impact on buyers’ affordability and attitudes in the long-term and should therefore not be thrown out as unrealistic" and is also proposing that stamp duty be made a regional tax to allow it to "better reflect local housing market dynamics" and free up those who want to move home but cannot afford the tax bill to do so.

The proposals echo recent calls from Yorkshire Building Society, who urged the Government to consider reforming stamp duty land tax to make it paid by sellers. With a focus on first-time buyers, YBS says change would save those getting onto the property ladder an average of £3,791, with Londoners saving the most at an average of £13,171.

Its data shows that those moving up the property ladder would also stand to benefit, saving £4,093 on average, rising to £9,762 in London.

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Tom Allen
Tom Allen 20 Sep 2017

Absolutely agree with you!

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RyanGeo
RyanGeo 18 Sep 2017

A sharp correction would be a less dramatic expression to use. That is already underway in certain sectors in Reading where I practice as Chartered Surveyor

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sean benton
sean benton 01 Sep 2017

Identity theft is a thread for any profession. So,people should stay alarmed. I once take help from a letting agent and came to know that letting agents are taking every precaution to prevent fraudulent...

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Mark N.
Mark N. 30 Aug 2017

We have seen a surge in instructions over August and that should continue into September too.

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Chris
Chris 30 Aug 2017

Unfortunately, all the legislation bears its force on Landlords and ignores, naively, the effect of Rogue Tenants on the ability of landlords to keep houses in repair and offer properties for rent at reasonable...

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Christian Donovan
Christian Donovan 18 Aug 2017

The write-down on house values, combined with the fall in the GBP saddled the fund?s property portfolio with a 1.4% loss in the second quarter. The shocking amount of $240 million.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

Interesting point of view.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

It depends on the people, some older adults decide to make a long-distance move in order to live closer to their children or settle in a place with a lower cost of living.

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brandonlee10
brandonlee10 24 Jul 2017

The financial ramifications of the triggering of Article 50, the starting gun for Britain's departure from the EU, are far from clear. Buyers will be most cautious in London, given that buying a home in...

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IrisJ.
IrisJ. 19 Jul 2017

Great advice, but may I also add that when buying an already built home, make sure you do all of the proper inspections. Most importantly pest inspection because people tend to get surprised when they

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IrisJ.
IrisJ. 17 Jul 2017

The third point is, in my opinion, the most important one. People have become too inconsiderate and careless when it comes to rented properties. If a landlord wants to protect their property, regular visits...

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cornishalan
cornishalan 10 Jul 2017

Added to the cost of purchasing these village properties are the above average maintenance costs. Particularly where the property is a listed building or requires specialist building skills such as thatching...

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