New Rules and Regulations On London Property Market
London property market has been seeing a steady increase in prices since the year 2009. But from late 2017, the prices have been dropping gradually. While the financial boom caused by Brexit is one of the main reasons, there are other reasons such as increased demand and increased cost of living that has drove away many home owners. Home owners either sold their property or switched to rental spaces in the city.
While tax systems are generally designed very strictly all over Britain, the concept of housing taxes alone seem to have been given a little liberal treatment. The government’s introduction to a new scheme that allows people to top up on a deposit for a new home by 5% while obtaining 40% of loan from London and the rest from other states has helped several individuals.
Prices in London’s posh areas such as Kensington and Chelsea have dropped by 15% since their peak time in early 2017. In 2014 the government also introduced a heavy tax duty for people buying homes over £1M and also for people who were looking to buy a second home. London as a city is filled with luxury condos and modern living areas that are far from affordability for many. But with home owners moving out and others looking for rentals, there is severe imbalance in supply and demand.
The ratio between income rates and property prices is varying hugely, causing policy makers to rethink policy decisions that will benefit the economy. With many homeless people on the rise and many living spaces that are way beyond budget for the common man, the London Property market is on a constant wave. If you find a property with a low price that is worth settling in or you can afford it, you must act on it quickly.