Movers saved £6.1billion during stamp duty holiday: Rightmove

According to Rightmove, one million households saved £6.1billion when they moved during the stamp duty holiday.

The data from the online estate agent comes after the end of 15-month tax relief in England and Northern Ireland yesterday, after it was introduced by Chancellor Rishi Sunak last July to revive an industry that had stagnated in due to lockdown restrictions.

The company adds that despite the end of relief, the mortgage market is in a strong position with buyer demand in England 43% higher than in September 2019.

The initial holiday meant home buyers did not have to pay stamp duty on the first £500,000 of purchases, falling to the first £250,000 from July 1.

However, the zero payout threshold will return to the pre-pandemic level of £125,000 from October 1.

Rightmove property expert Tim Bannister says: “Around a million households have seen tax savings since last July, prompting some people to move, particularly in the higher price brackets.

“We are still seeing much higher levels of demand for homes than in 2019, so clearly there have been a number of other reasons to make this summer the time to move into a new home.

“There are still savings to be made for first-time buyers, so this hasn’t completely marked the end of savings and we expect the market to remain busy for the rest of the year and into next year. “

However, the house-selling chain pressures that existed before the stamp duty holiday will still be there now that the relief is over, according to HBB Solutions.

The chain repair and parts exchange company says: “The general consensus is that prices will not come close to crashing after the holidays end due to the persistent and endemic imbalance of supply and demand. in most regions.

“The consensus is also that the rate of price growth will slow from unsustainable highs.”

The average property took 320 days to sell between January and June, an increase of 16 days from the 304 days taken in the second half of 2020, according to comparison site

HBB Solutions says agents should consider partnering with a chain repair specialist to help keep transactions “on track when the holidays end – and expedite stalled transactions if necessary.”

He adds that house swapping, which provides financing to customers who cannot afford a new purchase until their current property is sold, can also speed up transactions.

HBB Solutions Managing Director Chris Hodgkinson said: “With the current issues relating to supply shortages and the fuel crisis, as well as the current challenges relating to Covid and Brexit, it is unclear how the market will cope as we enter a potentially difficult winter without the stamp duty holiday.

“Even if there is no major downside, as seems very likely given current market fundamentals, it still makes sense on many levels for agents to have a plan B, C or even D for helping to generate new business and revenue, as well as making itself more resilient to potential future bumps in the road.

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