Homebuyers panic as stamp duty looms

Home sales in the UK are expected to jump at the start of next year as buyers rush to purchase properties before the rise in stamp duty takes effect in March 2025. At the moment, buyers of homes worth less than £250,000 don't pay stamp duty. This was doubled from £125,000 under Liz Truss's mini-Budget in September 2022. The threshold is £425,000 for those buying their first property. This was raised from £300,000 as part of the mini-Budget. Nationwide predicts that the March change will impact one fifth of first-time buyers, although the overall effect may be less significant than previous changes due to high interest rates dampening market activity. Chief economist Robert Gardner said: "Affordability is also still relatively stretched at present," indicating ongoing challenges for buyers. The changes will primarily affect England and Northern Ireland, with less impact in areas with lower house prices. The average UK home price reached £265,738 in October, reflecting a gradual recovery in the market. 

The Daily Telegraph (01/11/2024)   The Guardian (01/11/2024)   The Standard (01/11/2024)