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New tax rules could spark rush to buy second homes in East Neuk

New tax rules could spark rush to buy second homes in East Neuk

A hike in the tax payable on second property purchases could spark a rush to buy in the popular East Neuk of Fife, it has been suggested.

The area has long attracted those seeking a holiday home or property to let, and property expert Linda Black predicts the Fife haven could become even more attractive to house-hunters over the next couple of months as prospective buyers bid to beat new rules due to come into force on April 5.

An additional tax for those buying second homes will add another 3% on all such purchases over £40,000.

“Fife and the East Neuk in particular are always sought-after areas because of the number of picturesque coastal communities such as Crail, Elie, Earlsferry and Anstruther, Cellardyke, St Monans and Pittenweem,” Mrs Black said.

“Prices too are reasonable, offering many people an opportunity to purchase a get-away-from-it-all bolt-hole or invest in a buy-to-let property.”

The area saw a similar surge a year ago in advance of the new land and buildings transaction tax which replaced stamp duty.