COVID-19 Update

Loveitts supports extension of stamp duty holiday past March

With less than 90 days until the stamp duty holiday deadline ends, there are growing calls for an extension beyond 31 March after England entered a new nationwide lockdown and Loveitts supports this movement with over 50,000 signatures now put forward to the on line petition being lodged to the government.

With the country now facing further lockdown measures until March at the earliest, there are warnings the country faces a “race against time” amid surging coronavirus cases and hospital admissions.

This means that while people can still move home and complete on housing transactions, subject to strict Covid safety measures, there are likely to be further backlogs and delays in the property buying process, which in turn means many purchasers will almost certainly miss the stamp duty holiday deadline at the end of March.

Calls for the holiday to be extended by up to six months were already being made at the end of last year as agents, surveyors and solicitors lobbied the government.

A letter was sent to the government with the backing of several industries bodies and major players in the industry citing the reasons why the extension would benefit the industry, the economy and most importantly people in the process of purchasing a property.

But the government has so far rejected calls to extend the temporary relief offered to property buyers via the stamp duty holiday.

However Sales Director Paul Barnes believes extending the Stamp Duty Holiday is needed:  “Though the property market remains technically open, there will now be considerably more logistical issues for the simple reason that a lot of people will be working from home.

Lenders, valuers and conveyancers are already experiencing bottlenecks and delays given the sheer amount of applications going through. This administrative upheaval caused by the latest lockdown will only serve to accentuate them and therefore delay things.

We are still witnessing a real appetite from potential buyers to purchase homes and by extending this deadline it will continue to support the economy during these unprecedented times.”

The stamp duty holiday means homebuyers across England pay no stamp duty when purchasing homes up to a value of £500,000, with a reduced rate for homes above that. For someone buying a £500,000 property, the saving is worth £15,000.

To sell your home through Loveitts please do not hesitate to contact us.