Property demand hits 10 year high

Apr 29, 2021
Stephen is one of the firm’s tax partners. He specialises in income tax, capital gains tax, corporation tax, inheritance tax, and stamp duty land tax. He also specialises in advising property and construction businesses.
Property demand

During March 2021 almost 162,000 sales were agreed (according to Twenty CI data). This is a 77% year-on-year increase from 2020. This figure is the highest that Twenty CI data has ever seen since they started recording data back in 2009.

Since the Stamp Duty Land Tax (“SDLT”) holiday was implemented in July 2020 sales agreed figures have risen dramatically with all but two months being in the top 10 list of all time in terms of sales agreed. The two exceptions being December 2020 and January 2021. This is typically the quietest time of year for property sales due to the cold weather and Christmas festivities.

However, what is slightly surprising is that mid to upper-priced properties have increased in sales most significantly. Particularly properties above £750,000. This suggests that the SDLT holiday is not the only factor in such an increase in sales. The SDLT saving is maximised once the price reaches £500,000 with a saving of £15,000, which doesn’t increase thereafter. This suggests that other factors may have come into play such as lifestyle changes due to COVID-19, with the desire for outdoor space and more inside space due to more people spending time in their homes due to ‘working from home’. Therefore, we suggest these factors combined have caused housing demand to explode with demand outstripping supply.


How can we help?

At Hawsons we have a dedicated team of property and construction accountants at our offices in Sheffield, Doncaster, and Northampton. Having an accountant who understands the challenges of this dynamic sector and is able to help you plan for the future is an advantage in a competitive environment. At Hawsons we have a great deal of experience in advising and helping businesses in property and construction and we can assist you as your business grows.

More from our property experts

You can find all of our latest property and construction sector news here.

If you are looking for advice in a particular area, please get in touch with your usual Hawsons contact.

Alternatively, we offer all new clients a free initial meeting to have a discussion about their own personal circumstances – find out more or book your free initial meeting here. We have offices in Sheffield, Doncaster and Northampton.

Free initial meeting

Stephen Charles

Tax Partner, Sheffield

Similar content