Our latest episode of The RWW Property Show is now out and covers what the recent budget means for the property market.
In this new episode, John Sanderson is joined by Sarah Sanderson (Sales Manager, Bexhill) and Head Valuer Danny Power for a look at what the Budget actually means for buyers, sellers and landlords across our patch.
Landlords
A 2% rise in landlord income tax across the bands was one of the Budget’s more notable moves. Combined with the Renters’ Rights Act, the extra stamp duty on second properties, and the recent rise in buy-to-let mortgage costs, the team’s view is that we may well see more landlords deciding the maths no longer stack up.
John shares the real-world example of a friend who bought a buy-to-let at the peak in 2022. The property is now worth less than he paid, with mortgage repayments running higher than the rent coming in. It’s a story that will sound painfully familiar to a lot of landlords right now.
For the rental market, the likely knock-on is reduced rental stock, which will probably push rents higher again.
A quiet nudge for first-time buyers
The Budget also announced a new government-backed loan for first-time buyers. A 2.5% deposit unlocks a 20% top-up loan, interest-free for the first five years, then starts accruing interest from year six. It applies to new build homes only, and the scheme opens in February.
The team talk through what this could look like in practice and feel it is a real option for buyers who don’t have the “bank of mum and dad” to lean on, but one worth running through carefully with a mortgage adviser (like RWW’s long-standing partner, Steve) so you understand exactly how the costs change over time.
As Danny also points out, with rents now broadly matching mortgage repayments on many homes locally, the question “why rent when you might be able to buy?” has rarely felt more relevant.
Stamp Duty
In the lead-up to the Budget, there had been a lot of noise about Stamp Duty being replaced with a new property tax funded through council tax. None of that materialised.
As Sarah points out in the episode, the certainty itself is a win. People now know where they stand That alone should bring a real wave of confidence back into the market.
A remarkable October in Bexhill
Stepping away from the Budget for a moment, the team also share some good news from closer to home. The Bexhill office had a remarkable October with 31 properties sold under offer and around 17 completions in a town with ten estate agents on the high street.
In a market many agents are still describing as flat, the team put the result down to the right marketing, deep local experience, honest pricing, and strong focus.
What it all adds up to
The team’s closing message is calm. No news from the Budget is actually good news. The scare stories didn’t materialise. Mortgage rates aren’t silly. Prices are low. And confidence is quietly returning.
As John puts it in the episode, this is the calm after the storm. And historically, that is exactly the moment to move.
That’s episode three of The RWW Property Show. Watch the trailer below and find the full episode on YouTube. And as always, get in touch with your local Rush Witt & Wilson office if you’d like to talk through what any of it might mean for you.
