Early in July, the new ‘no stamp duty’ rule was given the go ahead by the Chancellor. The offer grants a stamp duty holiday on purchase transactions made in England and Northern Ireland. This means that when you purchase your next home, you will have no stamp duty to pay for properties valued at up to £500,000, this however does not apply to buy to let purchases.
The tax holiday was put into effect to help the property market gain steady growth and help homebuyers that are struggling to find properties due to the crisis caused by coronavirus.
For the benefit of those who are not familiar with stamp duty, it is simply the tax that you pay whenever you purchase a property. The rates differ slightly all over the country and are dependant on the purchase price of the property.
In England and Northern Ireland, it is called the Stamp Duty Land Tax. In Scotland, it is called the Land and Buildings Transaction Tax. In Wales, it is called Land Transaction Tax.
The amount of tax that you will pay to the government will depend on the property location and the rate of the property you are planning to purchase. As to the announcement made by our chancellor, the changes are only applicable to purchases made in England and Northern Ireland.
The ‘no stamp duty’ offer is not a permanent measure. It was simply designed to boost the property market due to the recent pandemic. The offer is currently running and will last until the 31st of March 2021.
Because of the announcement, a lot of people are considering moving, selling or purchasing a new property. You might be curious as to how you can take advantage of this offer and increase your chances of selling your property at the best price.
As a property owner, you can work with a reliable estate agent who can do the job for you. They have two main things to consider to get your property moving in the housing market again and two favourable circumstances to create a good first impression to potential property buyers.
First, your property must be listed on a trusted and reliable online property portal in the UK. This means having your property prepared for photographs and videos. Second, when potential property buyers are ready to view your property in person, you have to make sure that your property is looking as good as it could be.
To get you started as soon as possible, we have created a checklist that will help your property stand out among the rest.
Clear out the clutter. Freeing your property from clutter is a task that should not be underestimated. Decluttering your property will not only create an illusion of a more spacious property, it will also allow you to show a clean and orderly home to your potential buyers.
If your property is clean and orderly, potential buyers can visualise themselves living in it and will be more likely to give you a good offer. If you have more time in your hands, you can try upcycling outdated furniture too.
Show them what you have. If your property is a two-bedroom deal, market it as such. Upon viewing the property, the potential buyers must be able to view two bedrooms rather than one bedroom and a study room. You must be able to show them what you have instead of telling them what you have. By showing them what you have, you can help potential visualise living their wonderful future in your property.
Prepare the paperwork. In order to experience little or no delay in selling your property, you must prepare all the necessary documents that your solicitor will need once you have sold. If possible, you can prepare the needed paperwork ahead of time.
Here are some of the documents that you should prepare:
building consent for any interior and exterior works
certificates of building regulation completion
certificates of builder’s guarantee for alterations or additions
CERTAS or FENSA certificates for windows
damp warranties/guaranties
Electrical Installation Condition Report (EICR) from a professional electrical person
Gas Safe Certificate
NAPIT or NICEIC certificate/report from a professional electrical person
planning permission if your property has carried out any major work
subsidence warranties/guaranties
title insurance policies, if applicable.
Restore your property to its former glory. You can personally perform minor repairs or have a cleaning or construction company do it for you. Potential buyers will surely hesitate if your property is a fixer upper. To prevent this from happening, you may consider re-grouting your bathroom and kitchen, refill minor cracks in the walls, take off limescale from bathroom furnishings, fix a broken cupboard or get the squeak out of your main door. These are just minor works that will make a big difference.
Mind the grass. The very first thing that your potential buyers would see is your garden. If you want to make a good first impression, you must keep your garden tidy by mowing the grass, pruning overgrown shrubs, giving your fence a new coat of paint, getting rid of weeds or cleaning up your pet’s mess.
Lighten up. Rooms with dark paint look smaller than light and airy one. This might deter your potential buyers so open up your windows and curtains to let the light in.
If your property is out on the market, it should be made ready for online viewings. To create a great virtual viewing impression on your potential buyers, you can create 3D images of your property, video walkthroughs and even drone footages. A lot of potential buyers are now tech savvy and embracing these modern ways of advertising can help you showcase your property on the internet.
If you are looking to take advantage of the new stamp duty rules, then get in touch with Cotswold Carriers to take care of all your removal needs.