Mortgage Rate Rises

neocon said:
Truss might cut stamp duty
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It's a bad tax as it hinders mobility and disincentivises downsizing (a big problem here), but cutting it without bringing in better forms of taxation is just another lever they're pulling to further inflate the property bubble because Tories know with this economy and problems with inflation, Brexit and the rest of their failures, if housing crashes their wealthy older voters will blame them and they will never recover for at least a decade.

Both council tax and stamp duty should be abolished and be replaced with progressive land value taxes.

Churchill said it best:

Roads are made, streets are made, railway services are improved, electric light turns night into day, electric trams glide swiftly to and fro, water is brought from reservoirs a hundred miles off in the mountains - and all the while the landlord sits still. Every one of those improvements is effected by the labour and cost of other people. Many of the most important are effected at the cost of the municipality and of the ratepayers. To not one of those improvements does the land monopolist, as a land monopolist, contribute, and yet by every one of them the value of his land is sensibly enhanced. He renders no service to the community, he contributes nothing to the general welfare; he contributes nothing even to the process from which his own enrichment is derived…The unearned increment on the land is reaped by the land monopolist in exact proportion, not to the service, but to the disservice done.​
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Most people should pay very little or nothing (certainly less than they pay now), and landlords, the aristocracy and land bankers should be paying substantial annual taxes for the land they hoard only to artificially limit supply to everyone else and further inflate prices, then to borrow again against those inflated assets to keep hoarding more and continue the vicious cycle.

However, as long as we have the corrupt system where a big portion of MPs and civil servants are either mega landlords themselves or come from families that own substantial land/property, they will never act against their own self-interests. We really should move to a system where politicians and top civil servants and their families are forced to have all their investments placed into blind trusts before they can take office.
 
Waste of time really. Let the market correct. I'm sorry, but if you borrowed at 2% but couldn't afford 6% then that is on you. The lack of self stress testing is what enabled you to outbid somebody who was potentially more prudent in their bid. A stamp duty holiday just increases purchasing power and prices go up to compensate. This benefits owners and not first time buyers which feels wrong.
 
throwaway4372 said:
Stamp duty winds me up, people need to be able to move for legit reasons, downsizing, new/better job, health, family, happiness. That stuff should be incentivised not punished.
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Especially given the threshold doesn't seem to be increasing anywhere near as much as house prices (good luck buying a house under £125k in anywhere not a ****hole these days!) and it's also somewhat unfair to non-FTB (e.g. someone who bought a cheap flat for themselves and is now getting married and buying together with their partner now has to pay an extra £5k for the same £300k property vs a couple buying their first house)
 
Must be a joke this stamp duty holiday rumour. The last one was completely unneeded and was basically a massive handout for anyone lucky enough to be buying/selling at the time, and unnecessarily boosted prices. We are going to need tax revenues more than ever with all this borrowing.
 
dl8860 said:
Must be a joke this stamp duty holiday rumour. The last one was completely unneeded and was basically a massive handout for anyone lucky enough to be buying/selling at the time, and unnecessarily boosted prices. We are going to need tax revenues more than ever with all this borrowing.
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Agree with this, if they wanted to do something along these lines then they should be looking to overhaul the council tax bandings instead.
 
The last stamp duty holiday seemed to fuel an increase in house prices that meant most people probably spent more on the house they bought, than they would have saved in stamp duty.

Not great for first time buyers, who would have avoided most of the stamp duty anyway, but ended up paying way more for a house.
 
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