The end of Stamp Duty Holiday and its effect on house prices
The stamp Duty Holiday was put into place in July 2020 to maintain buoyancy in the housing market by helping buyers financially affected by Covid.
Taking advantage of this tax exemption coupled with a desire for more space, mainly due to lockdown, certainly stimulated demand in the housing market
- the annual growth in June 2021 of 13% was the highest since the 2004 property boom.
With the end of the Stamp Duty holiday, which came into effect September 30th, the growth of house prices has already started to slow down falling back to 10% this September. However, there is no sign of a collapse in the housing market due to continued low interest rates and low supply of housing.