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First time buyers face stamp duty fees

14/03/2008

A recent news report indicated that first time buyers would have to face stamp duty fees whatever their status.

Director, Richard Farr, Association of Mortgage Intermediaries (AMI), explained the reason why destroying stamp duty for first time buyers which owned less than 80 per cent of a shared ownership home was fair.

The government has not gone far enough to sort this problem.

He stated: "Not long ago, Halifax published a report showing that the cost of stamp duty for first time buyers had risen by 83 per cent. The government hasn't increased stamp duty thresholds in line with property prices, and the duty is increasingly becoming a stealth tax."

He also explained that the governments move to attempt and push mortgage lenders to offer more long-term fixed-rate products are not likely to thrive as individuals are not committed that such mortgages are a good deal.

Before a turn around, the AMI called for the administration to swell the threshold for stamp duty to relieve first time buyers jumping towards the housing sector.


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