A great British bungalow building shortage is causing a nightmare for pensioners seeking to snap one up as construction of the single-level properties hits an “80-year low”.
The single-level properties were once the des res for retired people who preferred to live without the constant hassle of stairs as their mobility lessened with age.
But now a shortage of one-storey abodes being built means the UK is experiencing a shortage while at the same time, our elderly population grows.
Jonathan Rolande, property expert and founder of House Buy Fast, told GB News: “Construction of bungalows has hit an 80-year low. Although there is huge demand for them, developers see them as an unviable use of precious, limited space.
“Downsizers are faced with a choice of flats, often with high maintenance bills and new houses that don’t give many benefits to downsizing.”
Mr Rolande explained many people were also choosing not to downsize because of the pernicious Stamp Duty tax, which is applied when selling properties over a certain value in England and Northern Ireland.
He added: “Stamp Duty, or Stamp Duty Land Tax (SDLT) as it is now known, was introduced in the 1690s to fund wars abroad. Paid by the purchaser when a property sells, it now brings in billions of pounds each year in tax.
“There are some exemptions, first-time buyers for example, rarely pay it in full.
“Older Britons who wish to move to something smaller are faced with a hefty charge. Buying at £370,000 will cost £6,000 in Stamp Duty.
“Factor in estate agent’s fees, solicitors and removals and it would cost a pensioner up to £15,000 to move to something smaller.”
However, there could be some light at the end of the tunnel for bungalow buyers as the Chancellor Jeremy Hunt faces continued pressure from Conservatives to cut taxes when he delivers his Budget on March 6, likely to be his last before the next election.
The Institute for Fiscal Studies (IFS) has said if the Chancellor was determined to cut taxes, it would be better for growth to cut stamp duty on purchases of property and shares rather than cutting income tax or national insurance.
