Yesterday marked a year that first-time buyers have benefited from the stamp duty tax relief. The money-saving tax relief, which is known as First Time Buyer Relief (FTBR), was introduced on 22 November 2017. The Treasury announced that since the inception of the scheme, more than 180,500 first-time buyers have benefited, saving a total of £426 million pounds.
Iain McKenzie, CEO of The Guild of Property Professionals, said: “The government’s effort to assist first-time buyers to get into the market is seeing fruit with the number of first-time buyers at a 12-year high and climbing. Provided they have access to finances to meet deposit requirements, either through savings or their parents, first-time buyers will have an even greater impact in the market during 2019.”
The scheme is available to any first-time buyer purchasing a property in England or Northern Ireland with a purchase price of no more than £500,000, in the budget last month the relief was extended to first-time buyers purchasing a property through an approved shared ownership scheme. According to the Treasury, the relief was claimed in over 58,800 transactions between July and September this year, an increase of 12% compared with the previous quarter.
“While factors such as Brexit are still having a major impact on the housing market, the stamp duty relief will continue to increase the number of motivated buyers looking to purchase their first property,” adds McKenzie.
Find out what stamp duty you will pay on your property purchase by using our stamp duty calculator.