Delay house closing until after budget?

AidanD12

Just about to close a house sale this week (contract signed) and wondering whether I should delay until after budget as the speculation is that there will be a 3-5 year property tax exemption for any house purchases. Does that make sense or should I get the benefit anyway because deeds won't be dated until after that date. On the flip side is the increase in registration fees which I just read about here - torn between ringing the solicitor to tell her hurry up or slow down ;-)

hognef

AidanD12 wrote: »

Just about to close a house sale this week (contract signed) and wondering whether I should delay until after budget as the speculation is that there will be a 3-5 year property tax exemption for any house purchases. Does that make sense or should I get the benefit anyway because deeds won't be dated until after that date. On the flip side is the increase in registration fees which I just read about here - torn between ringing the solicitor to tell her hurry up or slow down ;-)

My first thought is that the property tax would have to be fairly significant for an exemption to outweigh the mortgage interest relief you'd be entitled to if the sale is completed by the end of this year.

AidanD12

Thanks honef
I thought I could have both if I closed after the budget but before the end of the year. Or do changes like that only take effect in the following year? I suspect not or no house would close between budget and new year. What I do have to choose from though is do I save 215 euro land registration fee by closing this week or take a risk on what's in the budget .. hmm.

bazwaldo

That's interesting. Due to slack vendors we're unlikely to close in the next fees days in time to get the current land reg fees. The mortgage is drawn down so MIR will be received. Maybe the vendors tardiness will work in our favour.

Victor

Do or do not, you don't know the future.

bazwaldo

Just found out its certain the registration wont be in time for end of the week so I'll have to pay the increased fees. So frustrating when the loan cheque was issued nearly two weeks ago and the vendors solicitor would not respond. Likely to close Friday or soon after. Might do the safe option and get it done before the budget just in case.

Spindle

Victor wrote: »

Do or do not, you don't know the future.

If you can afford it now and in the future, and want it now, get it now. Of course you could speculate and either win or lose.

bombadil

Having heard the news over the past two days I would not hold off until next year. It has been estimated that household tax could be c.350 euro p/a. Now despite not knowing the house you are buying the Interest Relief on a 150,000euro house is aprox 90euro a month or 1000 p/a or aprox 6,500 euro over the 7 years.. a much better saving than the present proposal for Budget 2013. I would strike now if you can

McVitae

I heard a week ago that first time buyers might be exempt from the new property tax (at least for a few years anyway), however there is no word of this in recent days with the new info on property tax. Does anyone know what the situation is on the property tax for first time buyers?

hognef

McVitae wrote: »

I heard a week ago that first time buyers might be exempt from the new property tax (at least for a few years anyway), however there is no word of this in recent days with the new info on property tax. Does anyone know what the situation is on the property tax for first time buyers?

Nobody will know until budget day (probably not even the government...)