Are you thinking about downsizing but worried about the hefty stamp duty bill? You’re not alone! New research from the Suffolk Building Society shows that 60% of homeowners would be more likely to move to a smaller property if there was less stamp duty to pay.
Downsizing: A Growing Trend
The study found that 15% of UK homeowners said they would downsize or consider downsizing within the next five years. This suggests that a significant number of people are already thinking about making a move to a smaller home, but they’re being held back by the cost of stamp duty.
The Case for Tax Breaks
The Suffolk Building Society argues that making changes to stamp duty could encourage more people to downsize, freeing up larger homes for families. This could help to address the housing shortage in the UK, especially for people looking for homes with more space.
More Than Just Tax Breaks
The society also highlights the need for more diverse housing options. This includes:
- More bungalows and single-storey dwellings: The number of new bungalows built has plummeted in recent years, with only 228 registered in the last quarter of 2023 – a shocking 70% drop from the same period in 2022.
- Support for self-builders: The 2015 Self-build and Custom Housebuilding Act aims to encourage self-build projects, but the society says that local authorities aren’t always doing enough to promote available plots of land.
What This Means for You
If you’re thinking about downsizing, the Suffolk Building Society’s research shows that you’re not alone. The society is calling for changes to stamp duty and a more diverse housing market to make downsizing more attractive.
Here’s what you can do:
- Talk to your local MP: Let them know that you support changes to stamp duty to make downsizing easier.
- Research self-build options: If you’re considering building your own home, there are resources available to help you get started.
- Stay informed: Keep an eye out for updates on housing policy and new developments in the housing market.
As more people consider downsizing and self-build projects, it’s important to have a housing market that meets their needs. Let’s hope that the government listens and makes the changes necessary to create a more diverse and affordable housing market for everyone.