call-to-action call-to-action-mobile

Abolishing stamp duty for downsizing OAPs could free up more family homes

Wed 22 Aug 2018

A call for stamp duty to be abolished for pensioners downsizing to free up much-needed family homes for younger buyers has been welcomed by Leamington estate agency ehB Residential.

It’s proposer, Yorkshire peer Lord Richard Best says such a move would also bring in more tax overall as well as reducing pressure on the NHS and social care if elderly people moved to be closer to other family members.

ehB Residential officer manager Clive Thompson said any move to free up much needed medium and larger homes was to be welcomed. He said that while many downsizers may not actually need the money they’d saved, it could act as a catalyst to move home, or at least not be a disincentive to doing so.

Lord Best, in his statement, called on chancellor Philip Hammond to follow up his announcement in last year’s Autumn Budget that first-time buyers would pay no stamp duty on homes costing less than £300,000, with a similar move for over-65s.

Currently, stamp duty is applied at zero per cent for the first £125,000 of a house purchase, two per cent for the next £125,000 and five per cent for the next £675,000.

But according to Lord Best, who has written a number of reports for ministers on housing an ageing population, abolishing the tax for pensioners would ultimately bring in more funds for the tax-payer.

 “The Treasury gets more money because there is a chain of people who also move and have to pay stamp duty.

 “If you are down-sizing you are probably going to take some cash out of the deal, so you are going to buy somewhere worth less than the place you are selling.”

He added that making it easier for pensioners to move house, often to be nearer their families, may mean fewer problems in their old age caused by accidents resulting from living in homes which were too large, resulting in less pressure on the NHS and social care.

 “What they need to think about is don’t wait for a crisis.  Move now when you can and free up these houses for the next generation.”

"Hi Gayl, I just wanted to really thank you for all that you're doing for me, to enable this flat let to go smoothly. This is well above my expectations of any letting agency and l feel EHB are very fortunate to have you as a team member. You are most willing to go beyond the call of duty and have such a problem solving manner you have made this journey easy and positive for me. Please forward this on to your manager...though l'm sure they already know how excellent your work is. With thanks and good wishes."
Xandra

News Archive

May 2023

Is It A Good Time To Sell A House?

April 2023

When Is The Best Time To Sell A House?

March 2023

Why Is Demand For Property So High In Leamington Spa?

February 2023

The Property Market Is Stabilising

November 2022

Two long-established names in Warwick estate agency join forces as ehB buys Donald Carter

October 2022

What’s Going On With The Housing Market?

Low unemployment bolsters market

August 2022

What's Happening with the market in August

June 2022

Houses for sale in Leamington are being snapped up.

April 2022

How to Get the Very Best Price for Your Property

March 2022

Spring housing market shows no sign of cooling, as ehB Residential reports continuing buyer demand

January 2022

Homebuyers likely to ‘go for it’ in the New Year, says ehB Residential

December 2021

ehB Residential calls on sellers to capitalise on Boxing Day Rightmove boom

November 2021

Hesitant home sellers urged to take advantage of less competition as Christmas distracts fellow vendors

October 2021

‘October is the new September’ in home buying world

August 2021

Strong demand sees homes sell twice as fast as in 2019

Autumn will signal surge of new properties for sale as buyer demand continues

July 2021

End of stamp duty does nothing to dampen the appetite to move home

June 2021

Families looking for ‘the right home’ not deterred by end of stamp duty holiday

May 2021

Leamington estate agency calls for more properties amid 7.1% house price rise

April 2021

Demand outstrips supply as March date sees highest property sales in a decade

February 2021

Demand for family homes is driving price rise, as ONS announces 8.5% annual increase

ehB Residential co-founds new local portal for property searchers

No slowdown in demand for million-pound properties

Show apartments at Victoria Point offer ‘a room with a view’ over Victoria Park