In its month to month report the Council of Mortgage Lenders uncovered that an aggregate of £900million was given out in purchase to-let credits for house buys in March. Then, only 71,100 credits were taken out this March contrasted with in the year since the assessment change, contrasted with 142,100 advances 12 months prior. The most recent figures are the main flag of the primary entire year since the duty change occurred. Proprietor house buys have remained low yet first-time purchaser contracts have begun to get.
Key Takeaways:
- Last April brought with it an increase in stamp duties, as well as stiffer penalties, greatly decreasing the interest of potential buy-to-let property buyers.
- Determined buyers rushed to get loans for new buy-to-let properties in March 2016, before the hikes went into effect.
- A sharp drop in monies lent for buy-to-let properties, between March 2016 and March 2017, shows a plummet of eighty percent.
“Landlords also now pay more income tax on their BTL earnings and get less tax relief from interest paid on their BTL mortgages.”