RUSH TO BEAT FREE STAMP DUTY Wednesday, 22nd February 2012

Compared with 21 per cent in December,according to the National Association of Estate Agents (NAEA, its January market report shows that 23 per cent of overall sales made in January were to first-time buyers.

Last this high in May 2011 this represents the third consecutive monthly increase in sales to first-time buyers.

“First-time buyers seem to be making the most of the stamp duty holiday before it comes to an end in March. The NAEA and other property specialists campaigned hard for the government to introduce the tax exemption to support first-time buyers, and these latest figures certainly suggest that stamp duty is a key factor for those on tight budgets purchasing their first home.
“We are deeply disappointed that ministers have axed this support for a crucial part of the housing market which has benefited so many house-hunters in getting onto the property ladder.” NAEA president Wendy Evans-Scott said.

She continued, “Earlier this month the Chancellor announced plans to enable a new Bank of England committee to set loan-to-value ratios on mortgages. Our latest figures show just how fragile the housing market can be; therefore any efforts to prevent unsustainable property bubbles and unwanted house price deflation are to be welcomed.
“At the same time the government also needs to take into consideration that requiring aspiring buyers to have even larger deposits than are currently demanded risks excluding even more young people from the market.”