Stamp duty holiday extension welcome boost for Lincolnshire housing market

Support for the housing market outlined in today’s Budget (Wed 3 March) will be pivotal to the county’s economic recovery. Chancellor Rishi Sunak announced a host of measures aimed at bolstering the economy as the UK emerges from lockdown.

A number of the measures are targeted specifically at the housing market, such as a three-month extension to the stamp duty holiday and a new mortgage guarantee scheme to increase the availability of 95 per cent loan to value mortgages on properties priced up to £600,000.

David Newton, Managing Director of Chestnut Homes, which has been building exclusively in the county for over 30 years, said: “The measures outlined by the Chancellor today are going to be pivotal in helping the Lincolnshire economy to get back on its feet after a turbulent year.

“The housing market has been a major driving force in keeping the economy going over the past 12 months, and by putting it at the heart of his Budget, the Chancellor has acknowledged the important role it will continue to play in the months and years ahead.

“Since the start of the lockdown, house prices have increased across the country, and we have experienced growing demand from house buyers who are finding that their existing home no longer offers them the space and the lifestyle that they desire. The extension to the stamp duty holiday should ensure that this momentum is sustained through to the summer.”

 The stamp duty holiday was introduced in July last year as part of a package of measures to help reignite the economy following the first lockdown.

The extension means that homebuyers can purchase properties priced up to £500,000 without paying stamp duty.

From 1^st July the threshold will be reduced to £250,000 for a further three months before returning to the usual level of £125,000 on 1 October.

First-time buyers of homes priced up to £300,000 and purchasers of homes priced under £125,000 will continue to avoid stamp duty fees.

David added: “The announcement that the stamp duty holiday will be extended until 30 June 2021 will come as a welcome boost to house-hunters looking to move up the property ladder before the summer.

“It has provided an excellent opportunity for buyers to move up the property ladder at a reduced cost and kept the housing market moving at a time of economic uncertainty.”