Landlords Want IHT Scrapped for Passing on Homes

A detailed survey into buy-to-let and the broader housing market has provoked a split reaction. 

In almost all the categories, the responses were split almost down the middle - except for the answer to one question. When owners of more than one home were asked if inheritance tax should be abolished on passing on property, 62% agreed, making the issue the most widely supported survey. 

Here are the full results of the research by lender Market Financial Solutions:

  • 55% of adults strongly support introducing new laws to stamp out gazumping, rising to 64% among those who own at least one home
  • 52% believe caps should restrict the number, value or location of properties bought by non-UK residents
  • 49% would welcome a housing tribunal with powers to review rent rises on individual properties, increasing to 58% for those renting with no intention of buying a home in the next 18 months
  • 47% currently own two or more homes and are against a cap on the number of houses one person can hold, but 41% support the measure
  • 62% owning more than one property support the abolition of inheritance tax on property assets
  • 52% of renters with no intention of buying home support having council tax for their homes paid by the landlord
  • 52% own one home, equivalent to 26.92 million homeowners, while only 4% own two or more homes
  • 25% live in a rented house and will not buy a home in the next 18 months, and just 7% of renters plan to buy a home by 2020

The lender’s CEO Paresh Raja said: “Whether you’re a renter looking to make your first real estate purchase or a homeowner trying to move up the property chain, the property market is facing a number of challenges. 

“Our findings demonstrate the public’s desire to have new laws introduced to prevent gazumping, and in turn, reduce the risk of a property chain collapsing. It’s also interesting to note that those people who own two or more residential properties are eager to see property inheritance tax removed on real estate assets.”

View Related Handbook Page


Navigate property investment tax complexities with our detailed guide. Make informed decisions about income, capital gains, and inheritance tax.