Buyer demand soars across UK cities as stamp duty changes loom

Buyer demand continues to rise across UK cities, as stamp duty thresholds are set to end next year.

According to estate agent comparison website, GetAgent, 45% of homes currently listed across Britain have either had an offer accepted or are under offer subject to contract.

This marks a 5% increase compared to the start of the year, as buyer confidence has grown following two base rate cuts by the Bank of England.

Sunderland has seen biggest uplift in buyer activity

GetAgent analysed buyer demand levels across 21 major cities, looking at the number of homes that are selling in the current market as a proportion of all stock listed for sale and how this level of market activity has changed since the start of the year.

According to the data, Sunderland has seen the biggest uplift in buyer activity so far in 2024.

Half of all homes listed across the city in the current market have found a buyer – a 10% increase versus January of this year.

Leicester has seen the second-largest increase in buyer activity at 9%, with Liverpool (+8%), Newcastle (+7%) and Leeds (+6%) also making the top five.

London sits some way out of the top 10, having seen the 14th largest increase in demand at 3.3%.

Aberdeen has seen buyer activity levels increase by just 0.2% since January, the lowest increase of all cities.

Buyer interest will climb further

Co-founder and CEO of GetAgent.co.uk, Colby Short, says he expects to see more buyers enter the market before stamp duty thresholds change.

The Budget confirmed that, from April next year, stamp duty thresholds in England will be lowered. For first-time buyers, the exemption threshold will drop from £425,000 to £300,000, while for standard residential properties, it will fall from £250,000 to £125,000.

For landlords, the stamp duty surcharge on additional homes was increased in the Budget from 3% to 5%.

Mr Colby said: “As the year has progressed we’ve heard consistently improving reports from our member agents with respect to the market landscape, the number of buyers entering the market, and the volume deals being done.

“It’s clear that as the year has progressed, momentum has been building and this is evident given the fact that every single major city analysed has seen an increase in buyer demand levels since January.

“With the government deciding not to extend current stamp duty relief thresholds beyond April next year, we anticipate that buyer interest will only climb further and this sets us up for a very busy end to 2024 and an even busier start to 2025.”

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