Longer Rental Tenancies Expected Due To Stamp Duty Changes

While a huge number of buyers across the nation were concerned that the reintroduction of Stamp Duty Land Tax would cause a rift in the growing market, Buy-to-let lender Landbay’s most recent study actually shows that 50% of landlords now expect tenants to be staying in their rental homes for longer, to save more to cover the stamp duty needed on a first-time buy.

In the Autumn Budget, Labour announced the end of Stamp Duty Land Tax Relief in April 2025, introduced in July 2020 to encourage activity back to the housing market after the pauses faced from covid lockdowns. While this announcement was a concern for some due to the increased costs this would add to purchasing a property, landlords are now seeing that this can have a benefit for their tenanted properties – with first-time buyers who are looking to leave the rental space and get onto the property ladder, these tenants are now extending their tenancies due to additional costs when incorporating Stamp Duty back into their budgets. These extensions mean landlords benefit from a longer-tenanted property, not having to worry about void periods or the fees incurred by sourcing new tenants.

Rob Standon, Sales and Distribution Director at Landbay.

If you’re looking to invest ahead of the changes to Stamp Duty, there’s still time. Reach out to our team of expert property consultants today, to explore our investment opportunities and to secure your purchase before the relief ends to get the best price for your property.