What the Budget means for Property29 March 2016
The Chancellor announced the 2016 Spring budget on 16 March. There wasn’t any real surprises as there had already been much debate on possible implications for the property market. Here are some of the key messages.
It was confirmed that large scale investors of buy-to-let properties will pay the 3% stamp duty surcharge on investment properties and second homes from April 2016. It is not envisaged that this will significantly affect the buy to let market as the main main objective of investors will be long term capital growth.
Capital Gains Tax
For those investing in commercial property, there was welcome news as the chancellor announced a reduction in capital gains tax from 28% to 20%. This means the sale of commercial property will now be taxed at the lower rates and this could mean an increase in commercial property sales. However this does not apply to for investors who are selling residential property. Landlords will continue to be hit by 28 per cent capital gains tax bill when they sell.
If you own commercial properties and are looking to sell or need some sound advice, please contact our commercial property specialist Sam Samad on 0203 422 2333 or at firstname.lastname@example.org.