Last updated on:
March 3, 2021
Budget 2021 was a big one for the nation's finances.
Chancellor Rishi Sunak attempted to begin balancing the books while trying to ignite the economy.
Housing was one of the key priorities.
It's clear the government wants to help get more people a mortgage and get more people on the property ladder.
Mr Sunak said deposits remain a 'significant barrier' to most homeownership dreams.
That means more 5% mortgages are needed. And banks need to feel more confident lending at 95% LTV.
And that will lead to a flood of new 95% LTV mortgages from the likes of Lloyds, NatWest, Santander, Barclays and HSBC from April.
The Chancellor reiterated the Prime Minister's sentiment, saying: "generation rent will become generation buy".
There's more detail on the 5% mortgage government guarantee scheme here.
You will not pay Stamp Duty (SDLT) below the £500,000 band until the end of June – a policy that was due to end on March 31st.
First introduced in July 2020, the Stamp Duty holiday has had a big impact on the housing market.
The Chancellor said 100,000s of people had been able to buy a home due to the scheme, which had helped many save up to £15,000 and saw house prices hit new highs – even during the wider economic downturn.
But with an artificial rise in demand, there have also been significant delays to the home-buying process, with many of you worried you may miss out on the holiday and its savings.
You now have a further 4 months to find a property and get your mortgage completed.
Furthermore, there will be no Stamp Duty on purchases up to a value of £250,000 until the end of September.