Spring Into Action Before Easter, Sellers Told

Posted by M&P Estates on 12th March 2021 -

Insiders calculate cut-off point to ensure best chance of Stamp Duty windfall   Industry experts are urging potential home-sellers to get their homes on the market by Tuesday, March 23rd, or risk missing out on the Stamp Duty holiday.

Industry experts are urging potential home-sellers to get their homes on the market by Tuesday, March 23^rd, or risk missing out on the Stamp Duty holiday.

Figures released before Christmas suggested it was expected to take at least five months before deals were completed, prompting the push for the Chancellor, Rishi Sunak, to abandon his original deadline of March 31^st.

He obliged in the Spring Budget last week, announcing a tapered extension which will mean that home sales up to the value of £500,000 will not pay any Stamp Duty if the purchase is completed by June 30^th. To smooth the transition back to the normal rate, that will be lowered to £250,000 until the end of September with the usual threshold of £125,000 restored on October 1^st.

Based on industry data, experts have calculated that the average time to find a buyer is 65 days – just over two months – and estimate a further 126 days (more than four months) for the paperwork to be completed.

While accepting some sales have been agreed significantly faster – indeed quite a few homes in larger towns and cities have been snapped up within hours of going on the market – experts feel two months is a more realistic figure.

And that means agents should brace themselves for a flurry of activity just before Easter.

Certainly, early indications are that sellers are keen to get the ball rolling. Budget Day heralded a rush of enquiries for agents as well as a surge in homes coming on to the market – 82% more than the same day last year.

And, coupled with the introduction of 5% deposits, online property giants Right Move reported more than nine million visits to their website for the first time.

Their property data expert Tim Bannister predicts a buoyant spring market. “The Stamp Duty extension, coupled with the introduction of 5% deposits, has given many people the certainty they have been looking for to press ahead with their home-moving plans,” he said.

“We expect this to help spring market activity. Many people who may have been delaying a move for a multitude of reasons now have the impetus and encouragement to take their next life step.”