Weakness in UK housing market set to continue in 2018
Evidence from the Royal Institution of Chartered Surveyors (RICS) indicates that the lethargy in the UK housing market is set to continue, despite the Government’s stamp duty cut.
In last November’s budget the Chancellor, Philip Hammond, abolished stamp duty for first-time buyers on homes costing less than £300,000 and with reduced rates up to £500,000. Despite this, RICS reports a negative net balance for new buyer enquiries for the 11th successive month in February. This indicates that more surveyors are seeing lower interest relative to those seeing a better picture.
The balance, which is seen as a good indicator of future activity, was at -16%, worsening from -11% in January.
“This would appear to suggest that the Government’s attempt to breathe fresh life into the market through eliminating the stamp duty charge for most first-time buyers in the Budget is not having a significant impact on overall demand,” RICS said.
Full story available from The Independent: http://www.independent.co.uk/news/business/news/uk-housing-market-weakness-continues-2018-prices-new-buyers-stamp-duty-a8243716.html