A-day implications for the housing market

A-day implications for the housing market - London RICS 2005 - RICS Briefing Paper October 2005 .

Reports on the probable impact on the housing market of the changes to the self-invested personal pensions' (SIPPs) regime from 6 April 2006 (A-day) From that date residential property (UK and overseas) will be allowed in a SIPP for the first time. SIPPs are likely to intensify regional property hotspots but will have only a modest impact on the majority of the market. RICS forecasts a steady flow of property into SIPPS, up to 160 000 extra property purchases over the three years after A-day. Potential property pensioners are most likely to be existing second home owners (male, higher-rate tax payers aged between 45-64) who have already had exposure to the property market through buy-to-let. Warns investors to be on guard against being sold inappropriate financial products.

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