Stamp duty increases home mortgage urgency
Those looking to purchase a new house in the next few months should aim to finish their mortgage applications before the end of this month as the stamp duty holiday comes to an end in 2010.
Santander believes that with the current stamp duty break coming to an end on December 31st this year and the average home mortgage application taking three months to be fully organised, people should be aiming to sort the loans out by September 30th.
UK mortgage borrowers could save a collective £53.7 million by avoiding stamp duty as research by the bank shows that 35,000 Brits will be looking to purchase a house in the price range before 2009 is out.
Starting in September 2008, the stamp duty holiday allows home mortgage borrowers to forego the one per cent tax on their properties.
Nici Audhlam-Gardiner, director of Abbey mortgages, said: "With a saving of up to £1,750 at stake for those people who have been considering buying a property, this impending deadline is an added incentive to move fast.
"First-time buyers have been hit hard by the costs of climbing on to the ladder and for these people this is a golden opportunity to make a big saving," she added.
Stephen Noakes, commercial director of mortgages for Lloyds Banking Group, recently said that upfront costs such as legal fees or stamp duty can discourage potential buyers from purchasing a house.
Lloyds TSB had launched its Easy Step mortgage with reduced fees in order to help first-time buyers with moving costs.
© Copyright
Related Articles
- Bank of England loan information figures reveal fall in homebuyer loans - 2nd February, 2010
The latest loan information figures from the Bank of England have found that the number of loans made to homebuyers fell in December, the first drop in more than a year, the Times reports.
It has been revealed that mortgage approval rates declined in the last month of the year, though the fall came against the expectations of most housing market experts... - Rising home mortgage costs forcing Britons to skimp on heating - 6th January, 2010
Ever-increasing home mortgage costs are forcing Britons to spend less on gas and electricity bills, it was suggested today (January 6th).
Shelter commissioned a YouGov survey of 5,438 people which found that 27 per cent are adopting this strategy, representing roughly 11.3 million people across the UK... - Moneysupermarket.com claims mortgage numbers have increased - 21st January, 2010
A website has claimed that the number of mortgage products on the UK market has surpassed 2,500 for the first time since May 2009.
Moneysupermarket.com, which provides consumers with loan information and advice, found that the amount of mortgage products has risen for the third successive month... - Building society mortgage lending flat in November - 5th January, 2010
Mortgage lending by building societies was largely unmoved in November from the previous month, it was suggested yesterday (January 4th).
According to new figures from the Building Societies Association (BSA), gross lending was £1.6 billion, which was comparable with the total of £1.7 billion for October... - Mortgage lenders' borrowing levels decrease - 18th December, 2009
New figures from the Council of Mortgage Lenders (CML) show that the amount of money offered to those looking to purchase a new home or remortgage a current property has dropped in November, compared to the previous month.
Some £12 billion of home mortgages were made available last month, although this is ten per cent down from the £13.3 billion of lending in October and 14 per cent lower than September's £13.9 billion... - Bank of England loan information numbers show tracker mortgages have reached a record low - 10th February, 2010
New loan information figures have revealed that tracker mortgage rates fell to a record low figure last month as competition continued to return to the mortgage market.
A report found that the average interest rate charged on one of the mortgage deals sunk from 3.92 per cent to 3.63 per cent, the lowest level since Bank of England began recording the figures 13 years ago... - Home mortgage customers need repossession help - 15th December, 2009
More property owners in the UK will be threatened by repossession as they struggle to keep up home mortgage repayments if the government does not increase the help it provides.
Research by Citizens Advice, along with AdviceUK and Shelter, has found that some homeowners are still slipping through the net when it comes to supporting all of those having trouble meeting their debt obligations... - Mortgage lenders reflect on stamp duty holiday trends - 31st December, 2009
Home buyers in the north of England have benefitted most from the stamp duty holiday, the Council of Mortgage Lenders (CML) has suggested today (December 31st).
The tax break, which was originally announced in September 2008, saw the nil rate threshold for stamp duty temporarily increased to £175,000... - Mortgage lenders see fewer Britons in arrears in Q3 - 18th December, 2009
Britons made a concerted effort to get on track with their mortgage repayments during the third quarter of 2009, according to new figures.
The Financial Services Authority (FSA) confirmed that an average of 395,000 mortgage holders found themselves in arrears between July and September - a decline of two per cent from Q2... - Moneyfacts.co.uk's loan information numbers suggest mortgage market is to continue recovery - 4th February, 2010
The latest loan information figures from moneyfacts.co.uk have revealed that the UK's mortgage market is set to continue its steady recovery this year.
According to the website, the number of home loans available since the start of 2010 has increased by 20 per cent...