Downsizing incentives and first-time buyer support top Budget wishlist

From first-time buyer support to Stamp Duty changes or just doing nothing at all, there is plenty that agents and property professional would like to see in this week’s much anticipated Budget.

Chancellor Jeremy Hunt will deliver his first Budget this Wednesday, with the focus expected to be on energy bills and the cost of living crisis but there are some changes agents would like to see for the housing market.

Mark Manning, managing director of Northern Estate Agencies Group, said: “I’d like to see the Government launch more first-home loan schemes to help more first-time buyers and a new product like Help to Buy, to provoke more activity and reinvigorate new build sites which have seen difficulties since the scheme was scrapped last year.

“I think a long term mortgage scheme could be the answer, where mortgage lenders are incentivised to provide high loan-to-value mortgages over periods of 10-15 years, so buyers don’t have to save such large deposits and homeowners get more financial stability.

“We also need a tax break for downsizers to unlock that market potential so many are missing out on.”

Dominic Agace, chief executive of franchise brand Winkworth, suggested the chancellor needs to focus on supply. 

He said: “The Government needs to enable developers to build more houses. We need a replacement for Help to Buy to assist first time buyers to get on the housing ladder and to enable developers to build more homes. 

“The Chancellor needs to introduce tax changes to make more of the housing stock we already have by encouraging downsizers, so we don’t have four bedroom houses occupied by one person who can’t afford to move due to high taxes, blocking a young family from moving up the ladder. 

“The Government needs to encourage empty nesters to sell through tax incentives, both Stamp Duty and inheritance taxes, to benefit the next generation.”

David Alexander, chief executive of Scotland-based agency brand DJ Alexander Ltd, added:  “As a boost to the housing market, he could ease planning regulations to make it easier for new homes to be built.

“Providing tax incentives for builders and property investors would give further impetus to produce more homes. This would, in turn, increase capacity which would stabilise house prices in the future and make it easier for first time buyers to get on to the housing ladder.”