Lettings market 'could benefit' from stamp duty reform - buy to let mortgages

04 September 2008

Holders of buy to let mortgages could benefit the most from the government's announcements on stamp duty, it has been claimed.

Daily Mail personal finance editor Tony Hazell made the statement on website This is Money.

"Those with most to gain from the stamp duty moratorium may be those looking to enter the buy to let market," he commented.

He added that "£150,000 is about the right price for a buy to let flat".

This would fall into the category of property purchases that have been exempted from stamp duty - the Treasury has postponed the tax on transactions under £175,000 for a year.

However, Mr Hazell advised property investors to wait until prices fall further instead of "acting on impulse".

A recent report from Nationwide showed that the average price of a house in the UK was £164,654 in August - a drop of 1.9 per cent from July.