August, 2024
With the election of a Labour government, the housing market in Norwich faces significant changes.
As your trusted estate agent in Norwich, we at Arlington Park Estate Agents have examined Labour's key pledges to understand how they might impact homeowners, first-time buyers, and renters in our city.
Labour has committed to building 1.5 million homes over the next five years, supported by updates to the National Policy Planning Framework (source). This could mean more housing options in Norwich, potentially easing the demand for property in our area. As an estate agent in Norwich, we're keeping a close eye on how this development might affect local house prices and availability.
Currently, first-time buyers benefit from no stamp duty on properties up to £425,000, but this relief is set to expire in 2025. Labour plans to maintain this exemption until the end of March 2025. However, it's important to note that Labour signalled before winning the General Election that they intend to lower the threshold back to £300,000 from April 2025, which could significantly impact first-time buyers in Norwich planning their purchases around this timeline (source).
For those looking to buy their first home in Norwich, this potential change underscores the importance of timing and planning in property purchases. As your local estate agent in Norwich, we're here to provide guidance and support to help you navigate these changes effectively.
Labour has promised to ban no-fault evictions and extend ‘Awaab’s law’ to the private rental sector. This would require landlords in Norwich to address reported health hazards within specific timeframes, offering renters greater protection. Additionally, Labour aims to empower tenants to challenge unreasonable rent increases, potentially stabilising rental costs in Norwich.
Labour's ‘Freedom to Buy’ mortgage guarantee scheme could help an additional 80,000 people across the UK, including in Norwich, secure their first home. This scheme, alongside a policy offering ‘first dibs’ on new developments to local buyers, might make it easier for Norwich residents to step onto the property ladder. As your local estate agent in Norwich, we’re here to guide first-time buyers through these changes.
Labour’s plan to require all private rental properties to be rated EPC C by 2030 will have significant implications for landlords in Norwich. Though no one will be forced to replace their old gas boilers, improving energy efficiency will become a priority. The proposed national Warm Homes Plan aims to eliminate fuel poverty by 2030, potentially benefiting up to 5 million homes, including those in Norwich.
Labour's commitment to reforming the leasehold system, making commonhold the default for new-build flats, could alter the landscape for property buyers in Norwich. This move is part of a broader effort to simplify property ownership, supported by the new Leasehold Reform Act 2024, and could make new flats in Norwich more attractive to buyers.
The certainty brought by a new government might lead to a short-term increase in home-mover activity in Norwich. Historical trends suggest that elections often lead to a bounce in the property market, and with a potential Bank Rate cut and lower mortgage rates on the horizon, we could see more movement in Norwich’s housing market.
At Arlington Park Estate Agents, we believe there is room for further support for first-time buyers in Norwich. While Labour’s proposed mortgage guarantee scheme offers some stability, making the existing stamp duty thresholds permanent would provide much-needed certainty. Additionally, exploring innovative solutions to help first-time buyers with deposits and long-term borrowing could further ease their path to home ownership in Norwich.
As always, our team at Arlington Park is here to help you navigate these changes. Whether you're looking to buy, sell, or rent in Norwich, we’re dedicated to providing expert advice and support tailored to the local market.
