Within two years 4.3m homes have been pushed into a higher stamp duty bracket, according to estate agent Zoopla
House prices have gone up £29,000 and 4.3m homes have been pushed into a higher stamp duty bracket in two years, according to Zoopla.
Consistently high levels of buyer demand since March 2020 and restricted supply have led to the £29,000, or 13%, rise in house prices. In the last year alone house prices have risen 8.3%, the estate agent’s monthly price index showed.
Since March 2020, 1.2m properties in England and Northern Ireland have moved above the initial £125,000 stamp duty threshold.
However, the firm said prices rose by just £441 in the last month, which is equivalent to less than 0.2%. Zoopla said prices rose just 1.2% in the three months to March.
Gráinne Gilmore, head of research, Zoopla, said: “Buyer demand has been very strong ever since the end of the first lockdown in 2020, and the start of this year has been no exception.
“This demand, coupled with constrained levels of supply, has put upward pressure on pricing - with the average property now worth an additional £29,000 compared to March 2020.
“This has pushed millions more homes into higher stamp duty brackets, meaning that if they come to market, there is an additional cost for buyers.”
Zoopla also noted supply of homes for sale is starting to rise, with new supply up 3% on the five year average, and ‘supply hotspots’ beginning to emerge.
These hotspot areas include Erewash in the East Midlands, which has seen a 45% increase in properties available for sale over the last month, followed by Pendle in the North West, (+38%) which lies close to both the Forest of Bowland and the Yorkshire Dales.
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