Jeremy Hunt, Chancellor of the Exchequer, made several proposals in his Autumn Statement that will likely have an impact on the property market in 2024. Whether you're a first-time buyer looking to take your first step onto the property ladder, a homeowner looking to upgrade to a new property, or a landlord looking to expand your portfolio, the Chancellor's proposals could stand to benefit you in some way. Let's take a look at some of the upcoming changes and how they could positively impact your 2024 property plans.

One of the key announcements the Chancellor made in his autumn statement was that, from January onwards, the National Insurance rate has been cut by 2%, bringing the main rate down from 12% to 10%.* The Chancellor also announced that, from April 2024, the hourly National Living Wage will increase from £10.42 to £11.44, the largest rise in over ten years.** These changes could benefit buyer affordability where increased disposable income may allow people to spend more money on buying a home they love or investing in properties to expand their portfolio.

The Chancellor also announced the extension of the Mortgage Guarantee Scheme until June 2025. The scheme helps make it easier for first-time buyers to enter the market by allowing them to secure a mortgage with as little as a 5% deposit. It was originally scheduled to close to new applications on New Year’s Eve 2023, but an unexpected 18-month extension looks to help ensure first-time buyers achieve their dream of owning a home.

The Chancellor also announced plans to consult on whether property owners would no longer require permission to divide a property into flats, as long as the exterior of the property remains the same. This could effectively increase the number of available homes on the market, potentially increasing buyer affordability. It would also give landlords greater flexibility in adapting their properties and increasing their rental income.

Jeremy Hunt also announced that £3 million will be spent on implementing a range of measures that will improve the overall home-buying process.** In the hope of speeding things up, experimental projects will be implemented that will digitise property data held by local councils and create property tech solutions. These new projects should hopefully make the buying and selling process much quicker and easier.

Overall, the Chancellor’s Autumn Statement contained a number of positives for people looking to buy properties in 2024. If you haven’t already, now is the time to better understand your position and affordability by speaking to both your agent and a mortgage broker.

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