Could an increase in stamp duty negatively effect the buy to let mortgage market?
An increase in stamp duty could have a negative effect on the buy to let mortgage market in the UK.
The suspicion that the Treasury plans an increase for the autumn is unconfirmed but has already caused a sharp intake of breath among landlords. This is because new tax rules that came into force last year found many landlords having to pay much larger tax bills or change the nature of how their business operated.
The news isn’t all bad though as in response to the tougher market conditions, lenders have competed strongly to improve the deals they offer and adjust their rates to make them more favourable.
However, a further increase in tax could force some landlords out of business altogether.
The best option would be to seek expert advice from buy to let mortgage broker, Deal Direct. With our help, you can find a mortgage or remortgage offer that helps to keep your costs low and maximize your income.
To find out more, chat with us online or call our offices.
Please be aware that Deal direct is regulated to offer independent mortgage advice; however, we are not regulated to offer general financial advice. If you want to discuss the suitability of a property as an investment, you will need to contact an independent financial adviser.
Buy to let mortgage applications from:
- applicants whose intention is to benefit from house price growth
- applicants whose intention is to benefit from rental income
- applicants who are letting to buy
will be treated as a normal buy to let and not as a consumer buy to let. In addition, their subsequent remortgage applications will also be treated in the same manner.