Construction BUSINESS

Call For Reduction in Stamp Duty For First-time Buyers

 Breaking News
  • €1 Billion Investment Plan For 4,500 New Homes in South Dublin South Dublin County Council have considered proposals that could deliver up to 4,500 new homes to the area. The total investment envisaged under the ambitious housing plan is in excess of €1 billion. The lands under discussion include: 2,600 new homes at the recently approved Clonburris SDZ scheme, 1,000 new homes at Kilcarbery in Clondalkin, 500 new homes in [...]...
  • M11 Gorey to Enniscorthy Motorway PPP Scheme Opens An Taoiseach Leo Varadkar has officially opened the M11 Gorey to Enniscorthy Motorway PPP Scheme. Funded, constructed and operated by the BAM ACS Consortium, it will reduce travel times from Dublin to Wexford by up to 30 minutes. At the opening Theo Cullinane, BAM Ireland CEO, said: “We are very pleased to be able to open [...]...
  • CRH Divests Europe Distribution Business CRH plc, the global building materials group, has agreed to divest of its Europe Distribution business to private equity funds managed by Blackstone for an Enterprise Value of €1.64 billion* payable in cash. The transaction is subject to regulatory approval. The business being sold comprises CRH’s entire General Builders Merchants business in Europe, including its Sanitary [...]...
  • Next-generation Wind Turbine Blade Pitch Technology Launched Mita-Teknik, a global provider of wind turbine control and pitch technology, has launched its new generation of blade pitch system for onshore and offshore wind turbines. The new Mita Pitch System has been designed to effectively minimize O&M costs, reduce downtime and improve productivity. The Mita Pitch System is a flexible pitch solution for turbines up to 12 MW, which boasts [...]...
  • Tulfarris Hotel and Golf Resort Completes €6 Million Renovation Programme International hospitality management company, PREM Group has completed the first stage of its renovation programme at Tulfarris Hotel and Golf Resort, Blessington, County Wicklow. The group purchased the 90-bedroom hotel in 2016 and since then has already spent over €6 million on the property to return the luxury 18th century Manor House and its surrounding grounds to [...]...

Call For Reduction in Stamp Duty For First-time Buyers

Call For Reduction in Stamp Duty For First-time Buyers
August 13
14:48 2018

A call for stamp duty to revert to 2pc to enable more aspiring first-time buyers acquire once off sites to build homes has been called for by IPAV, the Institute of Professional Auctioneers & Valuers, which says last year’s hike from 2pc to 6pc is adversely affecting the cost of a new house for first-time buyers. Launching its pre-Budget submission, Pat Davitt (pictured), Chief Executive of the organisation which represents 1,300 auctioneers and valuers says the spike in the rate is exacerbating an already difficult situation.

“Affordability is a big challenge for the typical first-time buyer in their twenties and thirties,” he said. “With rising prices and the prudential requirement to have 10pc of the purchase price as a deposit, the stamp duty hike effectively means the State insists buyers have a huge and unrealistic level of savings when a 6pc contribution to the State is added for the privilege of a buying a site on which to build a home.

“That discourages young people and those with fewer resources from living in rural Ireland in particular. It’s typically impacting the local, nurse, garda or teacher,” he said.

A building site valued at €40,000 now has a stamp duty charge of €2,400, as opposed to €800 a year ago.

Pat Davitt said the Government needs to recognise the particular challenges faced by rural Ireland and the need to encourage young people in particular to live and work in rural Ireland.

IPAV’s submission also calls for VAT on building to be reduced from 13.5pc to 9pc and to be reviewed after two years. “The total tax take on a new house is estimated to be somewhere in the region of 40pc to 45pc of the cost of a property. All such charges are paid in full by the house buyer and impact affordability,” it says.

Concerns with the repeated delays in supplying rural broadband is also raised as a concern by IPAV. It warns “unless the plan can be successfully executed properties will lose value and in some areas will become unsaleable.”

About Author



Related Articles

Constrcution Summit

PROMO – Construction Summit 2016 – Sustaining the Momentum

Lean Construction Ireland – Enhancing Ireland’s Competitive Advantage

The Magazine – Construction Business

The Magazine – Construction Summit 2016

The Magazine – Construction Summit

Upcoming Events

  • No upcoming events
AEC v1.0.4

New Subscriber

Subscribe Here