A CRITICAL SHORTAGE OF PROPERTY FOR SALE
As we head towards Christmas, figures nationally show that there have never been fewer properties for sale in the country. The property industry representatives are in consultation with the new Chancellor’s office to try and come up with a scheme that would make it more attractive for people to move. The number of sales being achieved year on year has fallen in some areas quite dramatically, firstly due to economic uncertainty around the world and secondly the buy to let market has been decimated as potential private landlords face a three percent extra stamp duty charge on purchases of a second/holiday home and the impending removal of tax relief on the cost of mortgages on those properties. London, for example, has seen a massive drop, in excess of 50% year on year on the number of sales being achieved. The last Chancellor’s excuse for the three percent stamp duty and ending of tax relief was that it would give first-time buyers a chance to get onto the market. My opinion is that it was a fund raising exercise that has gone badly wrong again because instead of increasing the income from stamp duty substantially it has actually decreased because the number of sales have fallen so dramatically in certain areas.
Of particular note is that the number of first-time buyers has actually fallen over the last three months to very low levels. The new Chancellor’s Autumn statement will make interesting viewing, especially for the property industry.
Dartmouth has had an interesting few weeks as well with new instruction levels being very low and a certain nervousness from buyers due to the economic uncertainty and increase in taxes. My prediction is that we may be coming to a quieter period on the run up to Christmas but that the New Year will bring renewed activity to the market as the population takes stock of the economic situation and as negotiations potentially begin with the EU and trade negotiations with the new President of the United States of America! Good local property correctly priced is still achieving high levels of interest and actually, this is a perfect time if you are thinking of selling to market your property with such a shortage for those buyers that are out there at the moment.
This will be the last edition of By The Dart before Christmas so may I take this opportunity to wish everybody in town and surrounds a very Happy Festive Season and a Prosperous New Year.