Under the terms of the new deal, Halifax Intermediaries will pay the entire stamp duty bill on purchases between £125,001 and £250,000, reducing a first time buyer's costs by up to £2,500. In addition, for first time buyers who purchase a property below £125,001, customers will receive £250 cashback.
Analysis conducted by Halifax shows that there were 268,800 first-time buyers who purchased a property last year, an increase of 23% compared to 2012, with first time buyers accounting for 44% of all property purchases in 2013 and 9 out of 10 first time buyers (91%) purchasing a property below £250,000 in 2013.
Nationally almost half (46%) of home purchases by first time buyers were between £125,000 and £250,000. However, there were significant regional variations in the prices paid by first time buyers last year, with those in the South East (75%) and South West (71%) purchasing properties between £125,000 and £250,000. In contrast, only 14% of first time buyers in Northern Ireland and 23% in the North of the country purchased within this range.
For the second consecutive year, the offer is available through a range of "Stamp Duty Special" products in the Halifax Intermediaries mortgage range enabling all first time buyers purchasing a property between £125,001 and £250,000 to have the choice of taking this offer. Included within the products is a 95% LTV 2-year fixed rate mortgage under the Help to Buy scheme, at 5.19% with a £999 fee.
Ian Wilson, Head of Sales for Halifax Intermediaries said:
"We know that Stamp Duty can often be a cost that is overlooked, particularly by first time buyers who are focused on saving an initial deposit for a house. We helped ease the burden of Stamp Duty for over 14,000 first time buyers last year and we’re keen to do what we can to once again support those buying their first home, at what's already an expensive time."
"As the leading lender to first time buyers, we have a compelling proposition helping to deliver an effective service to brokers and their customers.”
Halifax Intermediaries to pay stamp duty for FTBs
Halifax Intermediaries has today offered to pay the full stamp duty bill for first time buyers purchasing properties up to the value of £250,000.
Related topics: Mortgages
Amy Loddington
4th March 2014
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