Buy to let stamp duty surcharge and other related news

[unemployed]

Now we talking proper contractor houses!

you are welcome to stay anytime

i have enough room

nah proper support monkey house

http://www.rightmove.co.uk/new-homes...-32456853.html

[AtW]

you are welcome to stay anytime

i have enough room

nah proper support monkey house

8 bedroom detached house for sale in Windlesham Court, Snows Ride, Windlesham, Surrey, GU20, GU20

No front fountain?

FAIL.

[unemployed]

No front fountain?

FAIL.

sasguru has one

[OwlHoot]

nah proper support monkey house

8 bedroom detached house for sale in Windlesham Court, Snows Ride, Windlesham, Surrey, GU20, GU20

Been on the market since Oct 2014, so maybe there's something wrong with it.

[AtW]

Been on the market since Oct 2014, so maybe there's something wrong with it.

15% stamp duty?

[OwlHoot]

15% stamp duty?

Ouch! Yes, for a property on sale for £20,000,000 that probably doesn't help

[AtW]

Ouch! Yes, for a property on sale for £20,000,000 that probably doesn't help

It's worse than VAT on houses - at least VAT is paid once, but here 6 sales and full value of house is in hands of Gidiot.

Even if person who buys can afford it, even they would have to think - would I be able to sell this asset later if needed?

[OwlHoot]

It's worse than VAT on houses - at least VAT is paid once, but here 6 sales and full value of house is in hands of Gidiot.

Even if person who buys can afford it, even they would have to think - would I be able to sell this asset later if needed?

Good points.

[Martin@AS Financial]

Stamp duty hikes won't kill off buy-to-let boom, says Bank of England

Taken from the Telegraph:

Higher taxes on landlords introduced by the Government are unlikely to cool rampant demand for buy-to-let investments, according to Bank of England research.

In a sign that policymakers could take further action to rein in the market, the Bank said tax changes, including the introduction of a 3pc stamp duty surcharge on buy-to-let purchases and second homes last month, would not "on their own" lead to a "substantial reduction" in purchases over the long run.

The Bank said this reflected "positive expectations of rental growth and of the continuing attractiveness of buy-to-let relative to alternative investments".

Buy-to-let has become a popular option for people wanting to grow their wealth through property instead of shares and cash.

The total stock of buy-to-let loans has soared by around 40pc since the financial crisis, compared with around 2pc for the owner-occupier market, according to Bank data. Gross advances are close to their pre-crisis peak.

The Bank's meetings with more than 100 housing market contacts showed that most experts expected activity in the second quarter to be "subdued" following a surge in the first three months of the year as landlords rushed to complete deals ahead of the stamp duty hike.

While the Bank anticipates activity to remain robust "over a longer horizon", it said there was "a risk" that landlords "did not fully appreciate the implications" of cuts to the amount of tax relief they can claim on mortgage interest payments from April 2017.

"That could lead to downside risks to activity in the sector further out, if it subsequently led landlords to make a sharper adjustment to their portfolios," the Bank noted in its agents’ summary of business conditions.

The Prudential Regulation Authority set out new minimum standards for buy-to-let lending in March.

However, the regulator expects banks to grow their buy-to-let lending books substantially over the next few years, despite the tax changes.

The Bank of England's Financial Policy Committee, which is in charge of maintaining financial stability, is expected to be granted more powers to police the buy-to-let market in the coming months.

However, Andrew Bailey, a deputy governor, has suggested that further curbs on buy-to-let lending were unlikely to be introduced until regulators had fully assessed the impact of the tax changes.

[DimPrawn]

In other words, the next few years is a good time to get out of BTL, at a hefty profit, let the idiots charge in, await the crash, await the repeal of these "tough" changes and pile back in.

BTL == Sell up now and pocket your profits.