Leaders Romans has claimed controversially that the extended Stamp Duty holiday due to expire on May 31st has been much less influential on the property market than claimed.
The estate agency giant says its research shows first time buyers have been the biggest drivers of the current surge in property sales, representing 25% of all buyers’ motivations.
Coming in as the second and third most popular reasons for moving were to get a bigger home – for example, for family – and a change in relationship, both of which were cited by a fifth of respondents.
Leaders Romans’ research suggests the Chancellor’s decision to extend the stamp duty holiday was unnecessary as the vast majority of first time buyers were and still are exempt from stamp duty.
Last year, following the announcement by Rishi Sunak of a Stamp Duty holiday, 35% of home movers said it was a key influencer on their move, but more recently this has shrunk to less than 2%.
“It’s great to see that even in a challenging year, first-time buyers are still getting onto the property ladder,” says Kevin Shaw, Group Managing Director of Residential Sales at Leaders Romans Group (pictured).
“So far this year we have seen increased activity in the £150k-£350k price range, particularly freehold, where there have been a number of cases of multiple offers from different buyers.
“An increase in first-time buyer registrations is also extremely positive for the market as a whole, as their presence and ability to buy enables many more people who want to sell and move up the ladder the chance to do so by selling to a first-time buyer.”