London, Manchester and Birmingham hotspots for stamp duty free properties

Research by lettings and estate agent Benham and Reeves found that London (42,422), Manchester (7,365) and Birmingham (7,011) were home to the largest number of homes listed for sale at £500,000 or less, making them eligible for the current temporary stamp duty exemption.  

In London, of the 42,422 homes listed for sale, 16,409 were already sold subject to contract or under offer; Manchester (3,498) and Bristol (3,475) also ranked highly in this respect.

Despite being home to the lowest total stock, in Belfast, all homes listed for sale fell below the current stamp duty threshold, while in Swansea this was 98%, falling to 97% in Aberdeen.

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Within London, Croydon had 3,492 homes listed for sale at or below the £500,000 threshold, while Bromley (2,370) and Havering (2,218) were also home to some of the largest total stock levels at this price threshold.

The City of London was home to the lowest number of homes for sale at this price threshold (25).

However, when it comes to the borough with the most homes for sale at £500,000 or less, Barking and Dagenham tops the list. 97% of all homes listed for sale in Barking and Dagenham fell within the 0% stamp duty threshold, with Bexley next at 83%.

Marc von Grundherr, director of Benham and Reeves, said: “Breaking down the current property stock available on the market really gives us a good idea as to just how many people are due to benefit from the changes to stamp duty announced last week.

“The figures show that the vast majority of homebuyers will be better off as a result.

“Even in London, there will be a considerable saving for a vast number of those transacting across almost every borough.

“However, there is a chance that savvy homesellers who may have seen the value of their property slump due to the recent pandemic will now increase their asking price by that little bit extra.

“Our advice to homebuyers would be to know your market, stick to your guns when making an offer, and keep your stamp duty saving in your back pocket.

“You can use it as a bargaining chip should you need it further down the line when negotiating, but don’t be forced to over offer straight away.”