NI Housing Market Activity Surge:

The housing market in Northern Ireland has seen a significant boost in activity, with newly agreed sales up&nbsp;18%&nbsp;year on year, surpassing the 10 year average. September 2024 showed&nbsp;2,387 "sale agreed" properties, marking a considerable jump compared to the previous year and reflecting growing confidence in the market.As we progress through Q4, all signs suggest a busy period ahead. For a deeper analysis of these trends, keep an eye out for the upcoming PropertyPal reports, where we provide insights into NI's latest market conditions. Stay tuned.&nbsp;<img src="https://content-dev.propertypal.net/media/sale_agreed_september_00ce906c07/sale_agreed_september_00ce906c07.jpg" alt="sale-agreed-september.jpg" srcset="https://content-dev.propertypal.net/media/thumbnail_sale_agreed_september_00ce906c07/thumbnail_sale_agreed_september_00ce906c07.jpg 222w,https://content-dev.propertypal.net/media/small_sale_agreed_september_00ce906c07/small_sale_agreed_september_00ce906c07.jpg 500w,https://content-dev.propertypal.net/media/medium_sale_agreed_september_00ce906c07/medium_sale_agreed_september_00ce906c07.jpg 750w,https://content-dev.propertypal.net/media/large_sale_agreed_september_00ce906c07/large_sale_agreed_september_00ce906c07.jpg 1000w," sizes="100vw">

Northern Ireland housing market activity is surging, with sales up 18% year on year. Stay tuned for the upcoming PropertyPal Q3 report for more insights.

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NI Housing Market Activity Surge: Q4 2024

Stamp Duty Change Announced

In the latest Budget, Chancellor Rachel Reeves revealed an increase in Stamp Duty for second home buyers. Those purchasing additional properties will now face a higher surcharge, which has risen from 3% to 5%. Stamp Duty Land Tax (SDLT) is a tax that applies when buying property above certain price thresholds in Northern Ireland and England. The amount you pay depends on the property’s price and intended use. Currently, buyers pay no Stamp Duty on the first £250,000 of a primary residential property. For first-time buyers, Stamp Duty only applies to homes priced over £425,000. However, these thresholds will change in April 2025. The main threshold will decrease from £250,000 to £125,000, and the first-time buyer threshold will fall from £425,000 to £300,000. The Treasury said the move would give first-time buyers and those looking to move house an advantage over second home buyers and landlords, resulting in 130,000 additional transactions by these groups over the next five years.

In the latest Budget, Chancellor Rachel Reeves revealed an increase in Stamp Duty for second home buyers. 


Base Rate Cut to 4.75%

The Bank of England has announced a reduction in the base interest rate from 5% to 4.75%, effective November 7, 2024.This decision, marking the second rate cut this year, reflects the easing of inflationary pressures and aims to support economic growth. Here's what this means specifically for the Northern Ireland market.&nbsp;Understanding the ImpactEconomic Growth:The Bank of England’s decision aims to foster economic growth by making borrowing cheaper and stimulating spending. This is crucial for Northern Ireland, where economic growth has been modest. Lower interest rates can encourage investment and consumer spending, contributing to overall economic stability.Housing Market SpecificsNorthern Ireland's property market has shown resilience, with steady demand and relatively affordable prices compared to other UK regions. The rate cut is likely to boost buyer confidence, leading to increased activity in the housing market. Prospective buyers, particularly first-time buyers, may find mortgage deals more accessible, helping to stimulate the property market further.Looking AheadThe base rate cut is a positive signal for Northern Ireland’s housing market and the broader economy. Although mortgage rates will not drop significantly overnight, this move is expected to improve market sentiment and increase activity as we approach the autumn selling season.First-time buyers in Northern Ireland may face ongoing challenges due to high rental costs, but the rate cut could make mortgage financing more accessible. Additionally, policy measures to increase housing supply will be crucial in addressing market pressures.Check in with your mortgage advisor on how this change may affect you.

Bank of England cuts base rate from 5% to 4.75%, the second reduction this year, to support growth amid easing inflation pressures

NI Housing Market Activity Surge: Q4 2024

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