Stamp duty should be eliminated for first-time buyers in order to boost the market as a whole, the agents said yesterday.
The British government should introduce measures to boost the housing market similar to America's recent rescue plan for customers at risk of losing their homes.
According to the National Association of Estate Agents (NAEA), "preventative action" should now be taken, along the lines of recent legislation in the US. Under the terms of this legislation, people buying their first home are offered a tax break of as much as $7,500, in order to help them on to the property ladder.
Local officials have also been active in defending people at risk of losing their homes, with San Diego city attorney Michael Aguirre, for example, taking several lenders to court this week in his bid to transform his area of jurisdiction into a "foreclosure sanctuary".
Peter Bolton King, chief executive of the NAEA, said: "The housing market is a pillar of our economy and whilst we are not in the same position as the US and it will require different solutions there are things that our government can do to ease the pressure and ensure our situation does not worsen."
He added: "The first thing the government could do is introduce a tax break, such as abolishing Stamp Duty for first-time buyers and moving the thresholds up to ease pressure throughout the whole housing market giving people a reason and incentive to come back…If the government really wants to help the housing market we need to see action now from the government to ease pressure and give consumers hope for the future."
