Tax figures confirm the December was a buoyant month for UK property market
Fri 22 Jan 2016
Figures from the UKs tax collector confirm other evidence from index reports that the property market continuedto be buoyant at the end of last year when it would normally be slowing.
Sales increased by 1.9% between November and December 2015 and were up by 11.6% year on year, accordingto the data from HMRC.
Over all there were 108,710 residential and 9,700 non-residential transactions. Residential sales increased by3.6% month on month and 10.6% year in year.
According to Peter Rollings, chief executive officer of Marsh & Parsons, it is clear that December defied thenormal seasonal slowdown in the UK property market.
After a cautious start, there was a clear key change in sales levels after the conclusion of the general election,and the year closed on a high note and defied the usual seasonal slowdown with December experiencing thelargest volume of property sales of any month in 2015, as buyers rushed to complete transactions beforeChristmas, he explained.
This steady build-up of activity and buyer confidence is even more impressive when you consider some of theadverse changes the housing market has had to stomach over the past 12 months, he pointed out.
While the shakeup of stamp duty was indeed welcome for many first time buyers and those purchasing propertyat the lower bands, it has been harder to digest at the middle and top-end, where the increased levy is particularlyonerous, said Rollings.
With an additional 3% of stamp duty coming into effect for second home owners in April, 2016 may well see theopposite with a growth spurt in the early stages of this year that could then taper off in the short term while themarket retunes, he added.