Latimer Hinks Solicitors

The Darlington property market is still buoyant despite the likelihood of the Bank of England raising interest rates in November and after the recent return of stamp duty.

Research conducted by Darlington-based solicitors, Latimer Hinks, with local estate agents found that properties in the area are still seeing offers made almost as soon as they go on the market – a similar rate to sales during the stamp duty holiday period.

The partial stamp duty holiday, introduced by chancellor Rishi Sunak to help the housing market bounce back after COVID, came to an end on 30 September, meaning that properties purchased after the end of the month will need to pay stamp duty at normal rates if applicable.

With the Bank of England widely expected to raise interest rates from the current low of 0.1 per cent to a predicted 0.5 per cent by the end of 2022, borrowers will see mortgage rates increase substantially.

Although some regions may see a negative impact caused by these changes, Darlington property leaders expect the town and neighbouring areas to be largely immune, thanks to unprecedented demand in the local market.

One potential property owner from Darlington said: “It’s almost impossible to even secure a viewing on a three-bedroom house in the area. As soon as they come on Rightmove and you contact the estate agent, it’s gone. It’s great for the market, I guess, but a bit disappointing for my family.”

Martin Williamson, director and head of residential property at Latimer Hinks, said: “The stamp duty holiday certainly inspired a lot of people to move house and Darlington is experiencing something of a boom because of this. House prices have risen, properties aren’t staying on the market very long – it’s definitely a seller’s market at present – and it’s a very positive picture.

“Although interest rates are likely to rise, they have been incredibly low for a long time, and I believe that the increased rates will still be affordable for people looking to move home.

“I’m very confident that the properties in Darlington will continue to sell and keep the market as buoyant as it is now.”

James Carver, a director at Carver Residential, said: “We are continuing to see huge levels of demand for property in the area with multiple buyers per property for sale. Most properties we are marketing will have viewings and offers before they appear on Rightmove. My advice is for any serious buyers to contact us to register your details and buying requirements to allow us to let you know about suitable properties before they hit the open market.

“Darlington is still excellent value for money compared to the national average house price, and with its existing commuter links and new jobs introduced as part of the government’s levelling up strategy, the town is becoming a very desirable location for homeowners.”

Adam Swalwell, sales and development manager at Mortgage Advice Bureau, said: “The Bank of England has been at an all-time low of 0.1 per cent since March 2020, this has had the knock of effect of mortgage rates recently dropping to some of the lowest ever seen, while this can’t stay this way forever, we have already seen a few lenders increasing the rates.

“We are expecting the rate increases to be moderate while the economy continues to recover from the pandemic, however with the boom in property that Darlington is currently experiencing, any increase in rates will largely be offset by this, making it continue to be an excellent place to buy.”

Buyers should note that stamp duty land tax can be a complex tax and other circumstances can result in buyers having a charge even during the temporary rule changes. Buyers should take advice and understand the stamp duty position relating to you before offering to buy.

ENDS

Media Release Issued on Behalf of Latimer Hinks Solicitors

Media Contact: Josh Mason on 01325 363 436

NOTES TO EDITORS

Latimer Hinks solicitors, based in Darlington, has a team of around 50 people serving private and corporate clients. Their range of expertise and services covers legal issues surrounding commercial, residential and agricultural property, farming partnerships, wills and lasting powers of attorney, trusts, probate, long-term care, tax planning, commercial law, alternative and renewable energy, employment, and land-owning.