Rightmove sets out key housing policy areas for next govt

Rightmove has set some of the key priorities the next government should tackle, which includes boosting housebuilding, lifting first-time buyer support, stamp duty reform and greater green incentives.

The priorities were based on views from Rightmove experts and agents, and research among over 14,000 homeowners and renters.

•  Top of the list was a reform of the stamp duty system. If a new system took into account regional property prices or helped encourage more people to downsize, it could help movement in the market.

REFORM OF STAMP DUTY IS ESPECIALLY VITAL FOR LONDONERS

Data from Rightmove shows that in London, only 4% of homes for sale are exempt from the current stamp duty charges for all buyers, compared to 71% in the North East.

•  The second most requested change from homeowners is to simplify and speed up the homebuying process. It is currently taking over seven months from when someone puts their home up for sale until they move.

•  The acceleration of house building and long-term solutions to help affordability is also an area that has been listed as a priority for the new government.

UNDERSUPPLY CONTRIBUTES TO GREATER DEMAND AND INCREASED PRICES

Data shows that the undersupply of housing in the UK has contributed to ever-increasing house prices and rents with national average asking prices of homes now 22% higher than five years ago and national advertised rents up by 40%.

Over the past five years, the gap between supply and demand has widened. Since April 2019, buyer demand has risen by 15%, while supply has decreased by 6%. In the rental market, demand has increased by 32%, with supply reducing by 38%.

HOME–OWNERS: TOP FIVE PRIORITIES FOR THE NEXT GOVERNMENT

1. Reforming the stamp duty system

2. Simplifying the home-buying process

3. Incentives to help homeowners make green improvements

4. More mortgage schemes to help people afford to move

5. Incentives for downsizing

RENTERS: TOP FIVE PRIORITIES FOR THE NEXT GOVERNMENT

1. More support for first-time buyers

2. More mortgage schemes to help people afford to move

3. Simplifying the home-buying process

4. Building more homes

5. Legislation to improve the energy efficiency of rental homes

In addition, green incentives are a popular requested change of the next government from home-owners.

Rightmove’s property expert Tim Bannister says: “At the very least, the next government should make the current changes to first time buyer stamp duty charges in England permanent, as the higher thresholds introduced in 2022 are due to expire next year.”

“But there’s also a bigger opportunity to reform stamp duty to encourage more movement up and down the property ladder. With such regional variations in property prices, increasing stamp duty thresholds in line with these regional variations would seem a logical first step for stamp duty reform.”

Image: https://www.rightmove.co.uk/news/articles/property-news/general-election-2024-housing-changes-needed/