Liverpool’s property market is continuing to attract “plenty of investor interest” despite the 3% Stamp Duty increase, according to city experts.
Local agents reported a rush for deals on second homes and buy-to-let properties being completed prior to the rise being introduced at the start of April, however one month later the cost isn’t said to have had a major impact on transactions.
Alex Dixon (pictured), director at Sutton Kersh, says: “I would say that the publicity and constant discussions leading up to the hike raised public awareness and made it more acceptable to the people purchasing a second home.
“There was a rush for matters to complete prior, however we have seen no decline in transactions following the introduction.”
Phil Hartley-Chambers, director at agent City Residential, also insists investor interest continues to be healthy despite the Chancellor pressing ahead with the reform.
He says: “It’s pleasing that we have not seen a significant drop off in activity since the stamp duty changes and whilst the market was quiet the first week in April it was not unexpected given the dash for the 31 March deadline.
“Things have picked up again and with plenty of investment interest in the city we don’t think it’s going to have a significant impact on sale transactions.”
Whilst echoing that buyers rushed to meet the pre-increase deadline and interest has now returned after a “lull” in new investor offers immediately followed, Keppie Massie Residential’s branch manager, Debra Beach, adds: “Time will tell what any greater impact will be for those wishing to add to their portfolios; so long as the additional Stamp Duty liability can be absorbed by costs to keep yields acceptable the impact should not be as much as feared.
“The other question this raises is will this have an impact on rental prices – so long as rental availability verses demand remains out of kilter this is possible, but again time will tell.”