Stockport Council Tax Increases – Any Impact On Property Market?
Given the full range of features that impact on house prices and the property market, it is no surprise that some vendors wince at the local cost of living rising. When the cost of living in an area becomes more expensive, some vendors will decide that they can no longer afford to live in the area. However, many other people will agree with this outcome, and this can influence the property market.
If the rise in the cost of living leads many owner-occupiers to decide it is time to move while simultaneously driving some prospective buyers to think they cannot afford to live in an area, the impact can be swift. A rise in supply and a fall in demand is bad news for property owners because this usually leads to a fall in property prices. Of course, this may eventually be good news for prospective buyers if the fall is sufficient enough to make the area affordable to them.
Know your budget and finances before making a move
Some areas becoming unaffordable to live in is the logical conclusion to an area becoming more expensive to live in, but of course, there are many other elements to consider. If an area becomes more costly to live in because council taxes are rising and people believe this leads to improvements in the area, there may not be a desire to move out but instead an increase in the desire to move into the town or city.
With Stockport Council announcing an increase in council tax for the 2019/20 year, it would be wrong to naturally assume that people are going to move out or turn their interest to another area.
Stockport is an area on the rise, and there is interest in the town
Yes, there is an increase in council tax, but the 2.75% increase is a smaller increase than had been planned and it is the lowest increase in local council tax for five years. With Stockport being a town on the rise, with many changes and developments taking place, this increase is justified by many people already living in the local area and those who have considered moving here.
Like every financial aspect that impacts on buyers and vendors, it is essential to work out its impact and what it means to you. Yes, an increase in council tax implies an increase in monthly bills. If a homeowner is already at their limit, they have to consider whether they can justify the additional cost. However, it is likely that most owner-occupiers will find a way to balance their books and anyone keen to move into the area should be able to adjust their budget before they make a move.
Councillor Alex Ganotis is the Leader of Stockport Council, and he said; “Nobody who voted for this budget will have taken the decision lightly. Councillors are aware that increasing the burden on hard-pressed Council Tax payers isn't sustainable and that ongoing rises are not a sustainable way to fund local government. We have set this budget knowing that residents have faced higher rises in recent years to protect the services they rely upon. But we have made this decision as part of a package of thought-through proposals which prioritise protecting the vulnerable and minimising the impact on frontline services.”
If you are keen to make a move in or out of Stockport, it is best you rely on an agent with local insight and knowledge. Contact Peter Anthony for assistance and insight that allows you to make an informed decision
To find out how much your Stockport home is worth, click here.