Stamp Duty Burden Means Bigger Mortgages
These include the Stamp Duty Calculator which enables you to find out how much the cost of stamp duty adds to the cost of buying a home in a particular state or territory.
To avoid any last-minute surprises you need to ensure that you have enough to cover the cost of conveyancing, applicable stamp duty on purchase as well as stamp duty on mortgage.
Stamp Duty – If your prospective property is valued at less than 175,000 pounds, then your purchase is exempt from Stamp Duty tax.
“However putting the cost on your mortgage means you will be paying for stamp duty for a long time and the interest will mount up.
The amount payable on stamp duty is dependent on the value of the property – the higher the value, the more stamp duty is payable.
House prices recorded another strong year in 2007, underpinned by significant economic momentum, ongoing housing shortages and strong buy-to-let demand.
Foreclosures hit a record high in 2009. However, the figure was much lower than the 18.1 billion reported in December.Underlying net mortgage lending grew by 5.6 billion, compared with December’s increase of 5.7 billion.
CML director Michael Coogan thinks that things are unlikely to improve in the short term for prospective first-time buyers.
“And, because of this uncertainty, it would be surprising if some home buyers did not review the timing of their decision to move.
“Research by Yorkshire Bank shows that more than two-thirds of homeowners think house prices will continue to rise this year, with most expecting prices to increase even further in 2008.