Stamp Duty Debate

Good news that Cowan didn't touch stamp duty but his interest relief change may have a side-effect.

Generous FTB mortgage interest allowance is good for seven years, that will discourage people from trading up. FTB's may be reluctant to trade-up and miss out on their full seven years! This will further weaken the mid-high end of the property market.
 
You can still trade up, the interest relief continues whether or not you remain in the same property. The only problem is if you sell and do not purchase immediately, the clock still keeps ticking.
 
liteweight said:
You can still trade up, the interest relief continues whether or not you remain in the same property. The only problem is if you sell and do not purchase immediately, the clock still keeps ticking.
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Really? So you're saying that when a first time buyer becomes a second time buyer, they still get first time buyer allowances. Are you sure?
 
Yes, there are other threads/posts on the topic. It makes sense when you think about it, people need to trade up due to family size etc. apart from wanting to. Though come to think of it, 'sense' doesn't seem to enter into it ...I've just read that children paying rent to parents can't claim rent relief or else the parents will be taxed on the money. They can pay a stranger under the rent a room scheme though! That's the proposal anyhow. I give up!
 
liteweight said:
Yes, there are other threads/posts on the topic.
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Checked them out, you're correct - FTB interest relief continues after a move. It should be called first seven years interest relief rather than first time buyer interest relief!
 
Even so not many people move in the first few years I would suspect so by the time you get around to trading up there will only be a smallish bit of time to benefit from the relief, I can't see it being much support for the market.
 
Yes and if forced to pay stamp duty on subsequent property, the interest relief gained won't go near recouping the cost.

You're right Whathome, it's confusing and I wonder how many people think they're not entitled?
 
In fairness if a paltry 1600 p.a for a couple keeps you from trading up, you obviously should not be trading up anyway.
 
phoenix_n said:
Whilst i can't comment on the effect on the current confusion of stamp duty on the property market i can say with reasonable certainty that the rates will not change in this budget.
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As predicted there was no movement on Stamp Duty.

IMO, the changes in mortgage interest relief will not have an effect on the property market.
 
But we still do not have 2-bed apartments in Drumcondra selling for less than 200k?
 
phoenix_n said:
Thanks. No applause needed.

besides if i was any good at predictions i would say that watch lebanon on sunday
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Nice work!

phoenix_n forecasts are getting better since he found out last month what a bid ask spread is
Should you not be working for ESRI or something or maybe brian cowen.


phoenix_n vbmenu_register("postmenu_324156", true);
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Re: Iseq - Falling
Quote:
Originally Posted by zac http://www.askaboutmoney.com/showthread.php?p=324151#post324151
it cant go up every day, went from 8000 to 9000 in no time, needs a breather.


Maybe but wondering why it is across the board.

Wonder if someone could explain this to me. On davy.ie when you look at a share there is bid price say 20euros, and and ask price of say 21euros.

Is the bid price what someone wants to buy the share and the ask what the other party is offering....?
 
Glenbhoy said:
In fairness if a paltry 1600 p.a for a couple keeps you from trading up, you obviously should not be trading up anyway.
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dont think mortgage interest relief within 7 yrs is effected even if you trade up.
 
whathome said:
Really? So you're saying that when a first time buyer becomes a second time buyer, they still get first time buyer allowances. Are you sure?
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i think hes right, first time buyer status for mortgage interest relief is different that a first time buyer for stamp duty.
 
zac said:
Nice work!

phoenix_n forecasts are getting better since he found out last month what a bid ask spread is
Should you not be working for ESRI or something or maybe brian cowen.
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I cannot see how asking about 'bid spread' and forecasting are related but i figure it is a lame attempt to attack my credibility. But each to his own i guess.
 
phoenix_n said:
I cannot see how asking about 'bid spread' and forecasting are related but i figure it is a lame attempt to attack my credibility. But each to his own i guess.
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Because clearly only an expert in the world of the stock market investing could make predictions about the amount of taxation to be levied on houses in Ireland ...
 
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