We are ready – are you?
Earlier this month Chancellor Rishi Sunak confirmed speculation and extended the stamp duty holiday, which had been due to end on 31 March 2021, by three months in an attempt to mitigate the impact of the most recent coronavirus lockdown.
The new £500,000 nil rate band will end on 30 June 2021, before it is reduced to £250,000 until the end of September.
But be warned, good things must come to an end and on 1st October 2021 the Stamp Duty will return to the usual pre-Covid rates. You may think you have plenty of time and whilst some property purchases do complete in super-fast time there are many hoops to jump through before completion can take place and any of these could hit hurdles that delay the process and ultimately result in a later than anticipated completion.
If your budget is tight then any delays which result in completion occurring after the deadline might mean a make-or-break situation where additional emergency finance is needed. It is important to make good choices early on to ensure a smooth transaction and avoid additional stress and costs.
If you are planning on buying a new home and wish to take advantage of the Stamp Duty Holiday then it’s advisable to act now. The whole process from start to finish can take on average 6-12 weeks but this doesn’t factor in the increased workloads of Surveyors, Lenders and the Local Authority which from our recent experience is resulting in unprecedented delays. The sooner we can submit your request for searches to be completed the sooner we will receive them and this will put us in good stead to complete prior to the new deadline. It is sensible to check the lead time on these and if appropriate investigate if these can be expedited.
If you require a mortgage then it’s wise to go get a mortgage offer or offer in principle immediately. Speaking to a Financial Advisor will really help in getting your mortgage offer fast.
If you are selling your property (to enable a purchase) then think back to when you purchased it. Were there any complications? At Bartons we front load the transaction by ensuring at an early stage we have everything to hand which smooths the sale process immensely. Finding a good Solicitor early can help get everything prepared and minimise delay and questions when a buyer is found. Your solicitor can help you locate certificates for work such as planning documents, FENSA or NICEIC certificates etc and potentially anticipate issues that may come up and help you deal with them. Delay is the biggest threat to deals once they are put together.
Many but not all property transactions form part of a chain. Where there is a chain, you are reliant upon every single part of the chain being ready to complete before you can complete and this means that, to a large extent, making sure you complete before the SDLT Holiday deadline is out of your hands although choosing a pro-active Solicitor such as Bartons conveyancing team and an Estate Agent who liaises with all parties in the chain, maintains efficiency and keeps momentum is worth its weight in gold. At Bartons not only do we pride ourselves on getting documentation in order at an early stage but also on our high levels of client care, communication, legal knowledge and good and practical advice, speed and proactiveness. We can never guarantee that a transaction will exchange and complete when desired or at all but what our conveyancers offer will help to give you the best chance possible of getting the property you want.
Get in touch, we are here to help.