With the festive season just around the corner, it’s time to celebrate this year's achievements. But while you soak up the holiday spirit, the last weeks of the year could also be a great opportunity to brush up on your knowledge about the mortgage market, so you can get any housing plans for 2025 off to a quick start.
 

With a number of key announcements from the Autumn Budget that could influence your plans to buy or move over the year, we've highlighted some of the latest changes in the housing market.

If you’re looking to buy a property in 2025, it’s worth noting that next year will see a number of key developments on Stamp Duty – one of the biggest additional costs facing homebuyers.
 

From 1 April 2025, the tax-free limit for first time buyers will fall from £425,000 to £300,000. This means you’ll need to pay Stamp Duty on homes costing more than £300,000 instead of the current higher limit if you’re taking your first step.
 

As a first time buyer, you’ll need to consider how these changes could impact your budget, especially if you’re considering homes valued above the new limit. Higher costs like Stamp Duty could make buying a home more expensive, and you’ll need to make sure you’ll have the funds required to pay the right amount.
 

If you’re looking at how to start saving early for your first home, a savings account like our First Home Saver can help you build up the funds you need for your mortgage deposit. You’ll also receive a £500 bonus if you take out a mortgage with us. The account lets you deposit up to £1,000 a month, make charge-free withdrawals with 60 days’ notice, and runs for 36 months.
 

For those looking to buy an investment property as part of a Buy to Let portfolio, you’ll also need to bear in mind a rise in the additional Stamp Duty rate for second homes. This will increase from 3% to 5% from 1 April 2025.

As we head into the new year, the government is also stepping up efforts to make homes sustainable and energy efficient.  
 

The government is developing initiatives under the Warm Homes Plan to support households with energy-saving upgrades like insulation, solar panels, and heat pumps. These measures aim to help homeowners improve energy efficiency, reduce costs, and create warmer, more eco-friendly homes. While full details of the plan are yet to be announced, it represents a significant step toward making sustainable home improvements more accessible.

If you’re not sure which improvements will make a difference to your home, try our Home Energy Efficiency Tool to find out which energy efficient upgrades can have the biggest impact on your property.

The Autumn Budget introduced changes to Capital Gains Tax (CGT) that could impact landlords and holiday homeowners looking to sell up. At the end of October, the Chancellor announced an increase in CGT rates, rising from 10% to 18% for basic rate taxpayers and from 20% to 24% for higher earners.

There’s still a £3,000 tax-free allowance for Capital Gains. However, if you’re planning to put a second home or Buy to Let property on the market, it’s important to factor in this tax increase as it will impact how much tax you’ll pay when you sell the property.

One task that can easily slip through the net is contacting people to give them your new address.

 

Besides your friends and family, you’ll need to update your building society or bank, utility providers, and insurers about your new address before you move. You can also set up a mail redirection service to your new address to make sure that things like subscriptions don’t get lost during the transition. This way, any post that comes to your new address with your old details still on it will act as a handy reminder to contact the sender with your new details.

2025 looks like it will bring both a new set of challenges and opportunities for homeowners in 2025. While some costs may go up, there are still plenty of incentives that could go a long way in helping you reduce energy bills or increase the value of your home.
 

Staying informed and preparing now can help make these transitions smoother, whether it’s budgeting for new taxes, exploring energy efficiency grants, or reviewing mortgage options.
 

If you’re unsure how these changes might affect you, our team of advisors are here to guide you through the next steps.