Market takes a breather

Activity across UK took a pause as stamp duty holiday expired in England

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The housing market became subdued towards the end of March, following an initial rush to beat the stamp duty deadline at the end of last month, according to surveyors.

The Royal Institution of Chartered Surveyors (Rics) said its feedback from professionals points to house prices flattening out in recent months.

A net balance of 2% of surveyors reported prices rising rather than falling in March, shrinking from a balance of 11% in February and 20% in January.

The picture is mirrored across most of the UK, but Scotland and Northern Ireland appear more resilient to downward price pressures, the report said.

From April 1, the “nil rate” stamp duty threshold for first-time buyers reduced from £425,000 to £300,000, and for home-movers the zero rate threshold halved from £250,000 to £125,000. Stamp duty applies in England and Northern Ireland.

Demand from new house-hunters fell deeper into negative territory in March, with a net balance of 32% of surveyors reporting a decrease in demand rather than an increase, following a balance of 16% reporting this the previous month.