Three in five multi-property landlords take advantage of stamp duty holiday
As many as three in five (60%) multi-property landlords have expanded their property portfolio since the introduction of the stamp duty holiday in July 2020.
Among commercial landlords, this rises to eight in 10 (79%), research from Direct Line business insurance shows.
Some 43% of landlords have invested in properties outside major cities, with 82% doing so because they expect a significant number of renters to move out of cities due to the Covid-19 pandemic and upsurge in remote working.
Jamie Chaplin, landlord business manager at Direct Line, said: “It’s been encouraging to see the property market so buoyant since the Stamp Duty Holiday was introduced.
“And it’s been interesting to see more landlords invest in rural properties, suggesting they’re responding to the rise of flexible working and the possibility of people leaving major cities to work remotely.”
Nearly half (45%) of multi-property landlords are fearing the impact the end of the stamp duty holiday will have on the market and to the value of their portfolios.
A third (30%) are prepared to cut corners to ensure their purchases are completed before the holiday ends – for example, taking on aspects of the conveyancing process themselves or even skipping a rigorous property survey.
Three quarters of multi-property landlords would pull out of transactions if they did not complete their live purchases before the holiday is scheduled to end on 31st March.