Property tax shake-up would pile pressure on ‘underperforming’ London and the South East

Rightmove, rumors that can be announced in the budget, real estate tax changes will put more pressure on the housing markets of London and the South East.

There are speculations that Rachel Reeves can make a series of major real estate tax changes. Autumn budgetIn addition to others, the implementation of national insurance contributions for a national proportional real estate tax or homeowners in more than £ 500,000 houses.

Coleen Babcock, a property expert in Rightmove, said, ‘Rumors of property tax changes began to return in mid -August, and with the arrival of the budget until November, such expanded uncertainty may affect the market activity, especially in higher price parentheses.’

Although Rightmove said that he has not yet detected any ‘big change’ in the real estate market, he said potentially affected ‘short -term and medium -term plans’ would be.

Babcock added: ‘Our analysis emphasizes that the changes will be based in London and Southern England, and these are already less powerful performances.’

Rightmove’s analysis stressed how some proposed tax changes will affect London and higher priced areas disproportionately and ‘worse regional divisions’.

According to the analysis of the property portal, if the government changed its path stamp tax He worked on more than £ 500,000 property, approximately 60 percent of capital sales would be affected by 22 percent in the UK and only 8 percent in the North East.

Rightmove said: ‘Furthermore, more than ten houses in London or more than 11 percent are priced £ 1.5 million or more, and the rumors of the rumors will be subject to the tax on average outside the capital.’

What happens to property prices?

According to Rightmove’s latest analysis, the average listing price of the houses offered for sale in the UK rose to £ 1,517 or 0.4 percent this month.

However, the seller, who asked the price, was 0.1 percent lower than the same point after the ‘silent price increase’ a year ago.

The decline in annual prices was directed with both delays in the south of London and the UK compared to other places.

According to the findings, competitive pricing is ‘even more vital’ compared to other places in the south of England.

The number of houses for sale in the south of the UK increased by 2 percent at 2024 levels this month, and it took an average of five days to find a buyer.

Asking Prices: To ask monthly average price trends according to Rightmove

However, the number of sales agreed was 4 percent higher than last year. While 3 % annually increased in the south of England, 5 percent increased in the rest of the UK.

West Midlands was the only northern region to ask for prices in the new seller.

In the south -west of the UK, prices decreased by 1.3 percent compared to last year, increased by 3.2 percent in the North West.

Rightmove said: ‘The number of ten -year houses for sale is more pronounced in the south of England, and as sellers try to come to the forefront between more abundant competition, contribute to lower pricing. The number of houses offered for sale in the south of England increased by 9 percent in this period last year and 2 percent for the rest of the Great Britain.

Babcock said: ‘We would expect a slight increase in the new seller in September, asking for a slight increase, in the autumn of the traditional school season.

“ This year’s 0.4 percent price increase in this year is slightly lower than the norm of 0.6 percent at this time of the year.

However, prices fell slightly from where they were at this time after a summer of competitive pricing by sellers, and this small immersion in the south of England. ‘

The authority added: ‘The logical and attractive seller pricing we report, which helps to direct more sales activity than last year.

‘Static house prices, increasing fees and lower mortgage rates They all help the purchasability of the buyer, which leads to an increase in the number of sales agreed compared to a year ago. ‘

North London real estate agent and former RICS Housing President Jeremy Leaf, ‘Rightmove,’ Historically accurate identifier of market trends and 90 percent plus the enjoyment of the scope of the scope of the agent, but only asks the prices.

‘Asking prices cannot be reached, but usually owners or representatives’ will determine whether the willing starting points and real buyers are withdrawn.

Prices in our offices may still be marginalized in more affordable areas, but it is softened elsewhere.

‘We still accept sales, but the amount of election and some unrealistic seller’s ambitions compromise the activity.

Unfortunately, only some sellers receive the message. Unless your property is priced in a realistic way, you will not come to the fore from the big crowd and you will not give yourself the chance to withdraw offers. ‘

MT Finance Director Tomer Aboody, ‘Purchantability matrix still shows this. The first time buyers The average price of property is still struggling to ride on the staircase, which is still higher than the an average of 4.5 times income of the couple.

“ Of course, this should change, so the first time buyers buy their first home?

‘Stamp tax reform is urgently needed to allow more houses to be launched, so that it is encouraged to sell shrinkage and allow families to buy. This will also release more affordable apartments and smaller houses for buyers for the first time.

‘The property cycle is a great focus of the economy in the UK, and any government that does not try to support it or does not try to support it will see that the economy is reduced.’

England Bank Cut on August 7 interest rates From 4.25 percent to 4 percent, which is the lowest level since March 2023, analysts expect the interest rate decision of September to be held instead of a deduction.