LONDONERS OPTING TO EXTEND HOMES RATHER THAN FACE STAMP DUTY
London homeowners are increasingly choosing to extend their existing home rather than move elsewhere and be subject to council tax.
A survey published in the Evening Standard suggests that proposed home improvements which require planning permission have risen to 31% in the capital, up from just 20% the previous year.
The report also indicates that these proposed extensions are getting larger, with the average spend jumping from around £18,000 to £34,500 in the last 12 months. Planning applications for loft and basement conversions and rear/side extensions have soared, and analysts say that stamp duty could be a key reason for this trend.
INCREASING HOUSE PRICES INFLUENCING HOMEOWNER DECISIONS
It seems that many homeowners are finding that the cost of adding to their current home is working out cheaper than the amount of stamp duty that would be involved in any move.
The average London house price is now thought to have topped half a million pounds, placing these properties in the 4% stamp duty bracket. This is pushing stamp duty requirements up, and a home costing £500,001 would see the buyer pay £20,000 in stamp duty.
These costs are seemingly proving off-putting for many, prompting them to stay put and improve on what they currently have.
HOW FIDUCIA CAN HELP MITIGATE THIS
By working with Fiducia, you could greatly decrease the amount of stamp duty you are obliged to pay, potentially paving the way for your dream move. We use efficient, compliant strategies to help you mitigate your stamp duty payments and ensure you need not pay any more than is necessary.
For example, if you were to buy a home for £500,001 and came to us, we could help you save up to £11,840 on your stamp duty.
Find out more about what we do, how we do it and why it could benefit you today. If you would like to speak to us about our services, call us on 01625 599 200 and we will be happy to answer your questions.