Property finance appears to be on everyone’s minds at the moment, with new figures revealing that 29,900 loans for first-time buyers were granted in October 2014, a 12 per cent hike on September and up by 14 per cent compared with the same month last year.
Council of Mortgage Lenders data indicates that while remortgage lending for October saw a decline month on month, lending to home movers is on the rise. In all, 35,000 loans were advanced to those looking to move, up by ten per cent on September and by four per cent on October 2013.
Director-general of the organisation Paul Smee described 2014 as a year of change for the industry but added that the market has been remarkably stable, with both buy-to-let lending and house purchases demonstrating consistent and steady growth throughout the year in comparison to 2013.
“Stamp duty reform was long overdue and it is welcome that the tax has been changed. It will now be interesting to see how the market reacts – the new structure should be less of a barrier to mobility for those looking to get on the housing ladder or movers looking to switch homes,” he remarked.
Earlier this month, the government’s Autumn Statement revealed that stamp duty land tax paid on average house prices would be reduced by £4,500. Anyone buying a property under £935,000 would pay less, while those investing in the highest value dwellings would pay more, with the new system designed to be fairer and to help first-time buyers onto the property ladder.