House Buyers In LGC – Impact Of Budget Property Market Measures

22nd April 2021 posted in BUYERS

Now that we are a month on from the March Budget, it is a good opportunity to consider the housing measures announced by the Chancellor, Rishi Sunak.

The headline grabbing announcement was the extension of the stamp duty holiday, and the tapering off period. This extended the scheme, albeit in a lesser form, to the end of September. While this move is as much about supporting the industry and organisations, reducing some of the bottleneck, it is helpful for buyers across the country.

Of course, not all buyers can benefit from this scheme, and with the June 30th deadline looming, it is unlikely buyers who are starting their search now will benefit from the scheme.

Buyers benefit from the small deposit mortgage guarantee scheme

However, the small deposit mortgage guarantee scheme is of benefit. This scheme is open to first-time buyers, and existing homeowners. There is a threshold of £600,000 to bear in mind, and at Country Properties, we are here to assist local buyers.

If you need assistance in saving for a deposit, get in touch, and we will be happy to discuss your options.

According to Rightmove, the Letchworth Garden City housing market as at the start of April looked like this:

Properties in Letchworth Garden City had an overall average price of £412,307 over the last year.

The majority of sales in Letchworth Garden City during the last year were terraced properties, selling for an average price of £327,762. Semi-detached properties sold for an average of £427,894, with detached properties fetching £679,232.

Overall, sold prices in Letchworth Garden City over the last year were 15% up on the previous year and 7% up on the 2017 peak of £386,410.

Therefore, if you are looking to buy property in Letchworth Garden City, and you wish to benefit from the small deposit mortgage guarantee scheme, you should be able to.

Industry experts have their say

Andrew Harvey, chief economist at Nationwide, said: “Affordability improved significantly between 2007 and 2009, primarily due to the fall in house prices in the wake of the financial crisis, and remained low, thanks to the decline in borrowing costs to all-time lows. Over the past decade, an increasing proportion of first-time buyers have been opting to take out long-term mortgages to further lower their monthly repayments - though this increases the total amount repaid over the life of the mortgage.”

Andrew Asaam, mortgages director at Halifax, said: “We know that lockdown restrictions have made it more practically challenging for those buying and selling, but the stamp duty holiday has helped drive record levels of mortgage approvals as those held back by lockdown race to make savings. Raising a deposit is still the biggest struggle for those looking to take their first step on to the property ladder. We know that first-time buyers will benefit from steps that make a deposit more attainable and we’re committed to lending £10 billion to help people buy their first home this year.”

Currently, in line with Government guidelines, our Letchworth Garden City branch is open and our and lettings personnel are here to assist you. To clients old and new, if you have any queries or need advice on property sales and lettings then please call 01462 481100 or email ian.ellmers@country-properties.co.uk.