{"id":2567,"date":"2017-04-04T07:00:38","date_gmt":"2017-04-04T06:00:38","guid":{"rendered":"https:\/\/www.buyassociation.co.uk\/?p=2567"},"modified":"2017-04-04T07:00:38","modified_gmt":"2017-04-04T06:00:38","slug":"property-trends-expect-2017","status":"publish","type":"post","link":"https:\/\/www.buyassociationgroup.com\/en-us\/2017\/04\/04\/property-trends-expect-2017\/","title":{"rendered":"Property Trends: What to Expect In 2017"},"content":{"rendered":"<p><strong>The property market has already had a strong start to 2017, with many estate agents reporting their busiest start to the year.<\/strong><\/p>\n<p>In fact, property specialists <a href=\"https:\/\/www.leaders.co.uk\/advice\" target=\"_blank\" rel=\"noopener noreferrer\">Leaders<\/a> announced a 67 per cent increase in the amount of properties coming into the market during the first week of January 2017 compared with the monthly average in the fourth quarter of 2016.<\/p>\n<p>With a potentially busy year ahead, it\u2019s important to stay ahead of the game and look at what property trends are on the horizon \u2013 particularly when you take into consideration the effects that stamp duty taxation and the United Kingdom\u2019s decision to leave the European Union will have on the economic and political landscape.<\/p>\n<p>Here are some predictions as to how the property market will adapt throughout 2017.<\/p>\n<p><strong>Buy-to-let changes could equal higher tax brackets<\/strong><\/p>\n<p>On April 1st 2017, a phased reduction on mortgage interest tax relief for buy-to-let properties will be introduced and this could potentially affect landlords\u2019 profits.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"7OgHJgGTHd\"><p><a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/04\/03\/buy-let-tax-changes-investors-guide-changes-happening-april-2017\/\">Buy-to-let tax changes: The investor\u2019s guide to changes happening in April 2017<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Buy-to-let tax changes: The investor\u2019s guide to changes happening in April 2017&#8221; &#8212; BuyAssociation Group\" src=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/04\/03\/buy-let-tax-changes-investors-guide-changes-happening-april-2017\/embed\/#?secret=STjaCDJp1E#?secret=7OgHJgGTHd\" data-secret=\"7OgHJgGTHd\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe><\/p>\n<p>The reduction will see interest relief capped at 20%, instead of the usual 40% or 45%. The National Landlords Association estimates that this will push around 400,000 landlords into a higher tax bracket as a direct result of the changes.<\/p>\n<p>The restrictions are due to be introduced in phases, which are all outlined below:<\/p>\n<ul>\n<li><strong>Tax Year 2017\/18:<\/strong><br \/>\nDeductible finance costs will be restricted to 75%, with 25% available as a basic rate income tax deduction.<\/li>\n<li><strong>Tax Year 2018\/19:<\/strong><br \/>\nDeductible finance costs will then be restricted to 50%, with 50% available as a basic rate income tax deduction.<\/li>\n<li><strong>Tax Year 2019\/20:<\/strong><br \/>\nDeductible finance costs will then restricted to 25%, with 75% available as a basic rate income tax deduction.<\/li>\n<li><strong>Tax Year 2020\/21:<\/strong><br \/>\n100% of the mortgage interest will be added back to the rental profit and the tax calculated according to the tax bracket in which the landlord falls into. A 20% deduction of the interest disallowed will be taken from the payable tax.<\/li>\n<\/ul>\n<p><strong>House ownership falling to its lowest level &#8211; what\u2019s next?<\/strong><\/p>\n<p>In 2016, home ownership fell to 64% \u2013 the lowest level since 1986.<\/p>\n<p>One of the reasons for this dramatic decrease in home ownership can be attributed to the fact that young people are opting to rent instead of purchase their own homes. In fact, the <a href=\"https:\/\/www.local.gov.uk\/\" target=\"_blabk\" rel=\"noopener\">Local Government Association<\/a> found that the number of 25-year-olds who owned their own properties in 2016 had fallen from 46% in 1996 to 26%.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"wb4ieO5paJ\"><p><a href=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/23\/house-price-growth-impressive-high-midlands-turn-tables\/\">House price growth at an impressive high as the Midlands turn the tables<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;House price growth at an impressive high as the Midlands turn the tables&#8221; &#8212; BuyAssociation Group\" src=\"https:\/\/www.buyassociationgroup.com\/en-gb\/2017\/03\/23\/house-price-growth-impressive-high-midlands-turn-tables\/embed\/#?secret=6n34TAjIC6#?secret=wb4ieO5paJ\" data-secret=\"wb4ieO5paJ\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe><\/p>\n<p>The proportion of people who own their own home has fallen across every part of the UK since peak figures occurred in the early 2000s. In July 2016, Theresa May pledged to tackle the housing deficit, stating that:<\/p>\n<blockquote><p>\u201cYoung people will find it even harder to afford their own home. The divide between those who inherit wealth and those who don\u2019t will become more pronounced. And more and more of the country\u2019s money will go into expensive housing.\u201d<\/p><\/blockquote>\n<p>It will be interesting to see how Theresa May will actually tackle the housing deficit by introducing schemes that will aim to create more affordable housing for UK residents.<\/p>\n<p><strong>Midlands and the North West expected to rise<\/strong><\/p>\n<p>Despite the fall in home ownership, the Midlands and the North West are expected to see increases in house prices.<\/p>\n<p>A report by the <a href=\"https:\/\/www.rics.org\/uk\/\" target=\"_blabk\" rel=\"noopener\">Royal Institution of Chartered Surveyors (RICS)<\/a> indicated that the North West and West Midlands are expected to become property hotspots in 2017.<\/p>\n<p>The report found that house prices in the area could rise higher than the national average of 3%.<\/p>\n<p>Article provided by <a href=\"https:\/\/www.lpcliving.co.uk\/\" target=\"_blank\" rel=\"noopener noreferrer\">LPC Living<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The property market has already had a strong start to 2017, with many estate agents reporting their busiest start to the year. In fact, property specialists Leaders announced a 67 per cent increase in the amount of properties coming into the market during the first week of January 2017 compared with the monthly average in<a class=\"excerpt-read-more\" href=\"https:\/\/www.buyassociationgroup.com\/en-us\/2017\/04\/04\/property-trends-expect-2017\/\" title=\"ReadProperty Trends: What to Expect In 2017\">&#8230; Read more &raquo;<\/a><\/p>\n","protected":false},"author":1069,"featured_media":4422,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4,6],"tags":[17,37],"acf":[],"_links":{"self":[{"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/posts\/2567"}],"collection":[{"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/users\/1069"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/comments?post=2567"}],"version-history":[{"count":0,"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/posts\/2567\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/media\/4422"}],"wp:attachment":[{"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/media?parent=2567"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/categories?post=2567"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-us\/wp-json\/wp\/v2\/tags?post=2567"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}