Despite the stamp duty holiday ending for most property transactions ending on 30 June 2021 and then for properties up to £250,000 on 30 September 2021, there has been a huge 1.7% monthly increase in average property prices in the UK from August to September.
The average property price, according to the Halifax Property Index, is now £267,587 adding over £4,400 in value in just 1 month and £28,270 in a year.
Was this really a surprise? The stamp duty holiday was still in force until 30/09/21 and so the bottom end of the property market continued to push the higher end.
That said, we expect property prices to start to fall back now as government support for businesses, furlough, stamp duty holidays as well as rules on evictions, mortgage, debt and rent arrears all ending. There will be businesses that do not survive, there will be redundancies, there will be property that does not sell, there will be property that is repossessed.