In his Budget on 3 March 2021 the Chancellor, Rishi Sunak, announced and extension to the current stamp duty holiday on house purchases for a further three months.
The tax break will continue for purchases up to £500,000 until 30th June 2021 (for first-time buyers and those replacing their main residence). After this date, purchases up to a value of £250,000 will be taxed at nil until the end of September.
The Government also introduced a new mortgage guarantee scheme that will allow first-time buyers to purchase homes worth up to £600,000 with only 5% deposits.
Rishi Sunak commented, ‘’A policy that gives people who can’t afford a big deposit the chance to buy their own home. As the Prime Minister has said, we want to turn generation rent into generation buy.”
The new mortgage initiative will be made available from 1st April 2021.
If you require any further information mentioned within this article or would like to speak to someone regarding a house purchase, please do not hesitate to call 0121 233 6912 to make arrangements for a Free consultation with our Residential Property Team.