Having ownership of a vacant property for certain periods of time will soon mean Tameside homeowners, landlords and investors will be getting a hammering from their council tax bill.
In a bid to prevent homes from becoming or remaining empty, Manchester Town Hall bosses are implementing large premiums on vacant properties, which will continue to grow as time progresses.
Tameside homeowners, landlords or investors who own properties in the borough will see the premiums land on their council tax bills if their property is empty for two years or more.
At present, long term homeowners, landlords and investors already pay a 50 per cent premium on their council tax bill, meaning they pay a full rate of 150 per cent.
Approved proposals by Manchester council will see empty homes of two or more years being charged a 100 per cent premium from April 2019, double the current premium.
In 2020, properties that have been empty for five or more years will have to pay 200 per cent on the council tax.
In 2021, properties that have been empty for ten or more years will have to pay 300 per cent on the council tax.
So if you are in possession of a vacant property, for whatever reason, here are my results which show how much extra you could be looking to be hammered by on your council tax bill:
Tameside (excluding Mossley):
Those are some pretty staggering numbers, particularly for properties vacant for ten or more years.
There are however some circumstances where full exemptions to these figures may apply. These consist of:
– Owned by a charity left empty following death of resident,
– Against the law to occupy.
– A clergy dwelling.
– The property was left unoccupied by a student(s).
– Property repossession.
– Property left empty following a bankruptcy.
– A vacant caravan pitch, boat mooring or an annex (eg. granny flat).
Considerations to carry out on a vacant property mainly consist of selling (obtaining a larger amount for the property in one large sum), or letting the property (obtaining a much smaller rental income but over a set period, with the potential to surpass a sale amount in years to come).
As always, I’m more than happy to discuss the best options for you should you be in possession of a vacant property, just give me a call on 07709 505442.
I’d also love to hear your views with regards to whether you believe the increases are fair or unfair, please leave them in the comments below.