CHANGES to stamp duty have been announced to help cut costs for anyone buying a home.

House prices have fallen for the first time in eight years, and to help people feel confident to buy, sell, renovate, move and improve, chancellor Rishi Sunak has cut stamp duty.

He said the housing market needs to be thriving, and the move will help to drive growth and create jobs.

Stamp duty is paid on land or property sold for £125,000 or more, though first-time buyers pay no tax up to £300,000.

The changes, effective immediately, now sees the level at which the tax is charged raised to £500,000 until March 31, 2021.

Anne McDine, branch manager at Megan Baker said: "I'm relieved there isn't a delay, otherwise it might have killed the property market until it came into effect.

"At the minute, business is really good ­— there's lots of activity on the Island.

"A lot of the negativity about house prices coming down is largely based around those buying in London.

"The Island is a very different entity.

"We still have a shortage of properties ­— we haven't got a flooded market ­— but we have a lot of very good quality first-time buyers out there looking and wanting to buy.

"Also, the whole impact of coronavirus has made some people realise they don't want to be cooped up in a city anymore.

"They're thinking, 'right, where can we go that is safe', and so far we've been very lucky over here.

"You also have people who have been living in smaller properties with children, who are thinking perhaps now is the time to move to something bigger.

"It also kicks the other way, where we have people on the Island who have not been able to see family living on the mainland and are thinking of moving closer.

"That means we've got properties coming on the market to feed the demand.

"It will have a much bigger impact on second-time buyers."

Mark Rhodes, of Hose Rhodes Dickson, said his estate agency has had to bring back nearly all its furloughed staff to cope with the demand.

He said the volume of enquires almost mirror those of a similar time last year.

He said: "The devil will be in the detail, but it will probably mean more than 90 per cent of homebuyers on the Island won't have to pay stamp duty.

"It's almost an unprecedented measure, and it can only be positive for the housing market.

"Saving £3/£4/£5,000 or whatever on your bill to buy a property is not the be-all and end-all, but people will take that as a very encouraging sign.

"It's also a sign that the government has recognised what a lot of people have thought for a long time ­— a vibrant housing market has a very positive effect on the economy as a whole.

"I think there are a lot of people who are maybe thinking now, 'hang on, I haven't got to go to the office to do my job'."

"I can see people who are able to work from home, who in the past have had to live in a city, might suddenly say they don't need to do that anymore.

"Why put up with the crowded conditions, when they can go live in Somerset or the Isle of Wight.

"Are we going to see a situation where you can live almost anywhere to get to a work meeting?

"Quite a lot of people have found working from home works for them.

"We haven't seen a seismic change happen, but we are seeing a change."