Stamp Duty Land Tax (SDLT or Stamp Duty) rates are set to change from 1st April 2025, when the temporary increases to the thresholds introduced in September 2022 are set to expire. The team at Sell House Fast has warned that the upcoming changes are set to be catastrophic for the the economy.
With Labour allowing the Stamp Duty tax to revert to pre-2022 levels, first-time buyers will no longer benefit from the same tax reliefs, as the threshold drops from £425,000 to £300,000.
Jack Malnick, a property expert with two decades of experience and the founder of SellHouseFast, commented: “The reversion of the stamp duty threshold for first-time buyers (FTBs) to its previous level is going to result in longer periods of renting. This will put vast pressure on the already strained system, individuals are already struggling with high rents, never mind trying to save for an unfairly large deposit.
“On top of this, the increase to surcharges on second home purchases back in October 2024 has already started to have a knock-on effect on the housing market. People who buy second homes as rental investments to supplement their income or as retirement income in addition to portfolio landlords are now thinking twice. Rental properties are already in short demand, rental prices are climbing and that’s only going to get worse.
“Ultimately the change will result in less movement across the country. With fewer buyers out there, sellers find it harder to sell and move on. With more demand put on availability of rental properties unfortunately renters are going to bear the brunt of the budget”
