Scrapping Multiple Dwellings Relief could see more landlords heading to auctions

Multiple Dwellings Relief is set to be abolished on 1st June 2024, leaving a small window of opportunity for landlords to sell properties without additional tax costs.

Related topics:  Auctions,  Landlords,  Tax
Property | Reporter
29th April 2024
Oliver Prior - Auction House 827
"Landlords facing the abolishment of Multiple Dwellings Relief should seriously consider the auction route"
- Oliver Prior - Auction House

Currently, in England and North Wales, when a purchase involves multiple dwellings (i.e. more than one property), in either a single or linked transaction, the owner can benefit from a tax relief known as Multiple Dwellings Relief.

For thirteen years, investors and landlords have received a reduced tax rate when purchasing multiple-dwelling properties. These upcoming changes will increase the cost of buying for multi-unit purchases as the aggregate tax reverts to the full amount payable.

With the deadline fast approaching, there is a window of opportunity to sell these assets with the enticement of a relief in additional tax. Selling by auction could be the most efficient selling route to provide a successful sale before 1st June 2024.

Oliver Prior, (pictured) Auctioneer and National Commercial Director at Auction House commented: "Landlords facing the abolishment of Multiple Dwellings Relief should seriously consider the auction route.

"Auction offers a streamlined process to sell properties quickly and with certainty, providing a viable solution for those looking to divest their portfolios efficiently and before the 1st of June.

"At Auction House, we host weekly online auctions, along with regular livestream auctions across the country, which provide a reliable and fast method of selling.”

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