First time home buyers will save lots of money if the stamp duty is taken away. It is recorded that the stamp duty blocks many new home buyers from interacting with the housing market, and with the economy where it was and still is, people are trying to find ways to make housing more affordable. Cutting the stamp duty sounds like common sense, but the opposition argues that the stamp duty is based on revenue. This causes the stamp duty to affect people who purchase expensive properties which takes in billions in revenue.
Key Takeaways:
- Cutting the duty to zero for buyers’ first property purchase is one of the moves Chancellor Philip Hammond is expected to announce in his Budget on Wednesday 22
- It could form part of a wider package of policies aimed at easing the housing crisis and helping younger buyers.
- He is not expected, however, to introduce more radical changes to the stamp duty system, despite widespread calls for reform
“Stamp duty is only one hurdle facing first-time buyers. The ratio of property prices to incomes has doubled over the past 30 years.”