Market not driven by stamp duty holiday
John Phillips, national operations director, Just Mortgages and Spicerhaart said,
“This proposed extension shows the importance of the housing market to the UK economy. It will certainly help ease the burden on some in the chain looking to rush deals through.
“However, this solution only kicks the can down the road. There have been discussions of a cliff edge with chains collapsing if they didn’t get over the line in time, but we don’t anticipate a sharp drop in activity whenever the holiday ends.
“The market has been predominantly driven by changing requirements. With millions now working from home, space for a desk, in some cases two, has moved up the priority list. People have also been looking for outside space as a result of the lockdowns. The lockdowns have also helped some to save a larger deposit. Also, by removing the need for a commute, people have looked to move out of the city.
“This latest announcement along with the confidence brought by the vaccine should help keep the momentum the market has built going for another few months. The end to the holiday, whenever it falls, will be a speed bump in the road. The market will slow down as we approach it, but will speed up again when we are past it.”
Published: 24 February 2021