Surge in Buy-To-Let market ahead of April's stamp duty changes
We at Peter Alan have noted a surge in the number of buy-to-let investors registering with us who are looking to purchase before the increase in stamp duty kicks in on 1st April.
Following a year on year comparison we have found that the total applicants registered in January with Peter Alan were 24% higher than this time last year with investment buyer numbers up 70% year on year. The substantial rise last month was fueled by an increase in buy to let investors seeking to beat the imposition of the three per cent stamp duty surcharge from April 1.
Angela Davey, Head of Lettings at Peter Alan commented, “The large number of buy-to-let landlords registering with us proves that there has never been a better time to invest. We would advise any customers who are considering investing in a buy-to-let or second home to get the ball rolling now so that everything is in place before the increase in charges in April. We want to assist landlords in making the most out of their investments so if you buy a property using Peter Alan between 1st Dec 2015 and 31st March 2016 we will find you a tenant for no charge when you use our managed lettings service.”*
According to data from Letting Agent Today and e.surv chartered surveyors there has also been a surge in lending for buy to let properties ahead of the stamp duty surcharge, meaning mortgage approvals have reached their highest level in nine years. January saw 85,432 house purchase approvals, up 20.6 per cent from the 70,837 in December according to data from e.surv chartered surveyors. This is the highest levels for nine years and represents as annual increase of 39.3 per cent.
Angela continued, “We can offer comprehensive advice on all aspects of the buy-to-let purchase process, including finding suitable properties, mortgage advice and advising on legislation and requirements to be a landlord, such as Rent Smart Wales the new compulsory landlord registration system in Wales.”
If you would like further advice on the next steps to take to secure a Buy-to-let property before the 3% surcharge on stamp duty takes effect in April 2016, please contact your local branch to get plans for your investments underway.
*Terms and conditions apply