11 Dec 2012

Stamp Duty Rise Hits Sales

Insights, Property, Publications

Research by Savills has found that the introduction of a 7% stamp duty rate for £2m-plus homes has hit sales of £2m-£5m homes in central London.

The research said that sales of homes valued at over £5m stayed steady. Savills said that sales of properties costing between £2m-£5m fell 20% in the second quarter of the year compared to the previous three months.

There was a further 25% fall between July and September compared with the previous quarter. The research found prime central London prices had been flat, rising only 1.2% in the half-year to October.

Source: The Sunday Times

We say: And when further changes come in next year as regards the annual charge and extension of CGT to non-natural offshore owners the effect is likely to be even greater.