As Ian Rogers, Director of C A Mortgage Services, I understand that the recent UK budget has introduced several measures impacting the property market. Here’s how these changes may affect you and how I can assist in navigating them:
Increased Stamp Duty on Second Homes
The surcharge on purchasing additional properties has risen from 3% to 5%. This change makes acquiring second homes or buy-to-let properties more expensive, potentially deterring some investors. However, it could also reduce competition for first-time buyers.
How I Can Help: I can provide tailored advice on how this change affects your property investment plans and explore alternative strategies to achieve your goals.
Abolition of Multiple Dwellings Relief
The removal of this relief means that purchasing multiple properties in a single transaction no longer offers stamp duty savings. This may impact investors and developers who previously benefited from reduced tax liabilities.
How I Can Help: I can assess how this change influences your investment portfolio and suggest adjustments to your investment strategy to mitigate any negative effects.
Reduction in Capital Gains Tax (CGT)
The higher rate of CGT on property sales has been reduced from 28% to 24%. This reduction may encourage property owners to sell, potentially increasing the availability of properties on the market.
How I Can Help: I can help you understand how this tax reduction affects your financial planning and advise on the optimal timing for property transactions to maximize benefits.
Changes to Inheritance Tax on Family-Owned Properties
From April 2026, a 20% levy will apply to family-owned properties, such as farms and certain business properties, valued above specific thresholds. This change may necessitate the sale of inherited properties to cover tax liabilities.
How I Can Help: I can guide you through estate planning options to manage potential tax burdens and preserve family assets.
Overall Impact on House Prices and Market Activity
These combined measures may lead to a shift in demand, with potential stabilization of house prices and changes in rental property availability.
How I Can Help: I can provide insights into current market trends and help you make informed decisions, whether you’re buying, selling, or investing in property.
At C A Mortgage Services, we’re committed to helping you navigate these changes with confidence. Please feel free to contact me for personalized advice tailored to your specific circumstances.
Contact:
Ian Rogers
Director, CA Mortgage Services Ltd
Phone: 07780 925185
Email: rogers-ian2@sky.com
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A mortgage is a loan secured against your property. Your property may be repossessed if you do not keep up repayments on your mortgage or another debt secured on it. The Financial Conduct Authority does not regulate most forms of buy-to-let mortgages.
A mortgage is a loan secured against your home. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.