Landlord News:
More calls for Stamp Duty to be amended
11 August 2017
Present rates of Stamp Duty are putting older buyers off downsizing and stopping more homes coming onto the market for those at the bottom of the housing ladder. Research from the London School of Economics and the VATT Institute for Economic Research suggests that levels of moving could increase by a quarter if the tax was to be scrapped. Professor Christian Hilber, co-author of the report, observed: ‘The key message is that stamp duty hampers mobility significantly, it create a mismatch and distortions in the housing market. Our analysis suggests that mobility would be 27% higher if stamp duty was abolished or replaced with an annual tax on the value of property.’
Related publications
‘Transfer Taxes and Household Mobility: Distortion on the Housing or Labor Market?’, Christian A.L. Hilber and Teemu Lyytikäinen, SERC Discussion Paper No.216, June 2017
http://www.spatialeconomics.ac.uk/textonly/SERC/publications/download/sercdp0216.pdf
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