According to data from e.surv Chartered Surveyors, January saw
over 85,000 house purchase approvals, which was up from December’s total of
just over 70,000.
Not only is this the highest number for nine years, it also
represents an annual increase of over 39%.
The significant increase in January was powered by an increase
in buy-to-let investors as they seek to beat the impending 3% stamp duty
surcharge from April 1st 2016.
Whilst it could be assumed that February may also reflect this
growing trend of increasing mortgage approvals, whether the trend continues
beyond April 1st 2016 is another matter.
Richard Sexton, Director of e.surv remarked about the buy-to-let
market, stating ‘Concerns about the sector’s growth have sparked a wave of
legislation but as stamp duty changes come into effect this April, there’s been
a rush to get buy-to-let loans approved. Many have predicted a narrowing of the
buy-to-let sector but actually what we’re seeing in lending quarters appears to
be the opposite.’
Furthermore, The Scottish Government are intending to introduce
a 3% supplement on Land and Buildings Transaction Tax (LBTT) for property
owners that buy additional homes in Scotland worth £40,000 or more.
Only time will tell concerning what effect/s the impending stamp
duty surcharge will have on the number of mortgage approvals and ultimately,
the buy-to-let market.
At Orchard & Shipman we work with highly experienced
financial services partners to offer our landlords the best value and quality
financial products on the market including mortgages, buildings and personal
insurance. If you want to find out how we could assist you with your financial
needs, then visit http://www.orchard-shipman.com/services/financial-services/ or contact Orchard
& Shipman today.
Subscribe to:
Post Comments (Atom)
Popular Posts
Subscribe
Posts
Comments
0 comments:
Post a Comment