Estate agent reveals 20% of agreed sales fell through after property tax ‘panic’
Simon Gerrard says there is "panic, confusion and uncertainty" at a time when the market should be booming.
A leading London agent says 20% of his agreed sales fell through last month as speculation about new property taxes hit market confidence.
Reports that the Government is considering new taxes, such as Capital Gains Tax on main residences, have shaken some buyers into withdrawing offers many agents have claimed.
And Simon Gerrard, Chairman at Martyn Gerrard estate agents in North London (main picture) agrees attacking Ministers for a stream of “disastrous” policy suggestions.
Panic
He says the reports are causing “panic, confusion and uncertainty” at a time when the market is normally booming in September.
Chancellor Rachel Reeves has named the date for the Budget, on 26 November, which means rumours of possible tax rises are set to continue circulating until then.
The panic, confusion and uncertainty sparked by these potential new taxes have caused almost 20% of our agreed sales in August to see the buyers withdraw.”
Gerrard, who is a former NAEA President, says: “The panic, confusion and uncertainty sparked by these potential new taxes have caused almost 20% of our agreed sales in August to see the buyers withdraw only a week or two later.
“The shadow of the Budget now looms and this constant chatter will put a hold on the property market during September and October, detrimentally affecting the overall economy whilst we are in this limbo,” he says.
Disastrous
“The policies being touted are also disastrous and show a total lack of understanding of the UK’s housing market.”
He says the mansion tax will “destroy the middle-class living in family homes across London and the Southeast”.
If the Government could just keep quiet and stop scaring the horses.”
“We’ve just had an interest rate cut and all the other signs point to a market that should be booming especially with September being a seasonally good month.
“If the Government could just keep quiet and stop scaring the horses, it would do far more to support its growth mission than any of its policy proposals.”
Pic courtesy BBC News
AGENCY BOSS: Property tax ‘leaks’ distorting behaviour in market
It’s pretty obvious that the government have only one thing on there agenda and that is self importance, whilst the market shows signs of recovery it’s goes into melt down with the incompetence of the government and there outlook