Property market still open for business in lockdown

Property market still open for business in lockdown

The government confirmed this week that England’s housing market is to remain open for business throughout the second lockdown. The property sector welcomes this news which will help to maintain stability and continuity in the market during these uncertain times.

What does this mean if you are buying or selling property?

Although not initially included in Boris Johnson’s speech on Saturday or published on the government website, Housing Secretary, Robert Jenkins, responded to a question via Twitter, about whether people can still move house.

Jenkins confirmed in a Tweet that  “the housing market will remain open throughout this period. Everyone should continue to play their part in reducing the spread of the virus by following the current guidance.”

We understand that RICS (Royal Institute of Chartered Surveyors) have worked closely with all the major valuation firms to secure clarification over last weekend. The Ministry of Housing, Communities & Local Government have confirmed that physical property inspections will continue to be provided for the residential property surveying industry.

Pauline Hudd, our Stamp Taxes Partner comments, “this is extremely welcome news to the many people who are buying or selling properties at the current time, especially those who wish to complete their transactions before 31 March 2021 in order to take advantage of the reduction in the SDLT rates.

It will help to ensure that this key aspect of the economy will continue to operate during lockdown. Lenders, surveyors, lawyers and property advisors are already experiencing unprecedented levels of demand from clients, and it is the right decision to keep the market open for business.”

Are you thinking of buying an investment property, moving house, passing on property to the next generation or incorporating a property business? You will have Stamp Duty Land Tax, Capital Gains Tax and Inheritance Tax to consider, as well as ongoing compliance obligations in paying tax on any rental income.

Pauline Hudd and Tim Cook are happy to answer any questions you or your legal advisors might have on the tax implications.

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Pauline Hudd
Partner at Wilder Coe
Pauline provides clients with practical advice and pragmatic solutions in relation to all aspects of stamp taxes. Her wide-ranging experience on corporate and real estate transactions means that she gives bespoke advice tailored to the needs of clients, whether they are major multi-nationals, financial institutions or individual investors.