Removal of Stamp Duty?
The current Labour government has recently floated a soundbite to test reactions around changes to Stamp Duty.
I’ve heard one sensible idea, and one ridiculous one.
The sensible one: shifting from tiered Stamp Duty brackets to a gradual sliding scale. This would remove the abrupt jumps we currently see. A welcome and practical improvement.
The ridiculous one: introducing a tax on sellers when they sell their main home. All that would do is shift the problem. Instead of buyers stalling to buy, sellers would stall to sell.
My hope is that the “ridiculous” suggestion is simply a distraction to make the more practical sliding scale reform seem palatable.
What’s certain is that this chatter alone is enough to put the psychological brakes on both buyers and sellers: “Let’s wait and see what happens.”
But if you’re a buyer with the confidence and courage to act now, this period could be an excellent opportunity.
Buy when no one else is buying.