• David Coggin

Buyer demand remains strong despite end of stamp duty holiday

Demand to buy residential property remains strong despite the end of the stamp duty holiday, according to new research commissioned by mortgage broker John Charcol.

The nationwide survey found that a fifth of people surveyed who did not move during the past 12 months are thinking of buying over the coming 12 months.

Additionally, two thirds of people who did buy a home in the last year said that the stamp duty holiday was not a major factor.

One third of people surveyed who bought a new home moved more than 10 miles from their previous home.

Nick Morrey, product technical manager at John Charcol, said: “The results of this survey are extremely interesting as the figures suggest that the stamp duty holiday was not necessarily the main driving factor for most purchasers as suggested by many market commentators. Although it is very likely it was driving factor in making sure completion was on or before 30th June.

"What it means is that people would have bought a new home regardless of the Chancellor's incentive. In addition to this the desire for people to buy remains strong, which bodes well for the property market both later this year and into 2022. With some of the lowest rates ever seen being offered by lenders it is also one of the cheapest times to obtain a mortgage - even at 95% loan to value.

"A key driver in the property market is always monthly mortgage cost and the current record low mortgage rates offset much of the impact of higher house prices.”

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