Landlords rush to buy before Stamp Duty Surcharge kicks in
Posted on 01/02/2016 by Sulgrave Estates
Landlords are rushing to expand their portfolios before the stamp duty surcharge kicks in on 1st April. Buy-to-let purchases are looking likely to outstrip landlord remortgaging for the first quarter of 2016. This is the opposite of last year’s trend where remortgages outstripped purchases by more than 2 to 1.
David Whittacker, managing director of Mortgages for Business, says “Landlords have been making considerable savings through remortgaging. However, I anticipate that we will see a reversal of this trend in the first quarter of this year as landlords hurry to expand their portfolios.” Whittacker added that yields will continue to plateau as rental income fails to keep pace with rising property prices.