Speculators have taken to buying the flats and marking them up for instant resale. A flat may change hands many times before it is even completed.
5. The concern is twofold: firstly to avoid this
speculation leading to a damaging property crash and
secondly to limit any inflationery impact. On 6 November
the Financial Secretary announced a package of measures to
tackle inflation. This included changes to the application of stamp duty on property. This is now to be charged on all
sale and purchase agreements, rather than only on the final
legal transfer of the documents to the purchaser.
6.
Later in November the main Banks announced that they
were reducing the maximum mortgage to 70% of the valuation
of the property.
FOBABP/2