Property market faces uncertain future

Britain's property market is experiencing significant upheaval as buyers and sellers prepare for the upcoming Budget and the implications of the new Renters' Rights Bill. While prices have risen sharply, with an average increase of 2.4% to £265,375, underlying issues threaten stability. Increased supply, with homes for sale up by over 40% in some areas, is partly due to nervous landlords anticipating potential tax hikes. Rachel Reeves, Chancellor of the Exchequer, may raise capital gains tax rates, prompting many landlords to sell. A recent poll revealed that 31% of landlords plan to reduce their rental properties. Simon Bridgland from Release Freedom warns that it may be too late for landlords to sell before tax changes take effect. Despite these difficulties, first-time buyers are cautiously entering the market again thanks to declining interest rates and reduced stamp duty. As Trevor Kearney from The Private Office notes, high-net-worth buyers are hesitant, waiting to see the Budget's impact before making significant purchases.

Daily Mail (17/09/2024)