Transactions rose by 11% from 276,700 in Q2 to 307,100 in Q3 2018, but were 8% lower than the same period in 2017, according to the latest report from HM Revenue and Customs.
About 58,800 transactions claimed first time buyers’ relief in Q3 2018, making a total of 180,500 claims since the relief’s introduction. The estimated total amount relieved is £426m.
Quarterly stamp duty receipts increased by 14% standing at £404m to £3.2m between Q2 and Q3 2018.
Residential stamp duty receipts increased by 18% at £364m between Q2 and Q3 2018, which was due to an increase in residential transactions.
Non-residential transactions fell by five per cent this quarter and were eight per cent lower than transactions in Q3 2017 with stamp duty receipts up five per cent to £850m between Q2 and Q3 2018.
Extend exemption to last-timers
Kevin Roberts, director of Legal & General Mortgage Club, said: “Last month’s Budget was certainly a step in the right direction with more good news for first-time buyers with the stamp duty exemption to shared ownership properties, but we cannot forget about those higher up the property ladder.
“Extending this break to last-time buyers would free up larger houses for growing families, providing the next generation of homebuyers the opportunity to step onto or even up the property ladder.”
Shaun Church, director at Private Finance, said the stamp duty exemption has provided a financial lifeline to almost 200,000 first-time buyers and helping them save a staggering £400m to date.
He added: “If the government is committed to fixing our housing market, stamp duty relief shouldn’t end however with first-time buyers. We urge the government to turn its attention to last-time buyers as too many would-be downsizers remain in their family homes unwilling to move due to the hefty tax bill they would incur.
“Encouraging these homeowners to move to smaller and more suitable homes would unglue the housing market, and unlock a supply of properties for prospective buyers further down the chain, helping to rebalance the supply of UK property in relation to demand.”