London luxury home sales fall to seven-year low

Buyers turned off by new taxes

New York /
Feb.February 14, 2016 03:00 PM

Luxury home sales in London’s poshest neighborhoods hit a seven-year low in January, with many buyers waiting and watching for changes from a pending stamp-duty tax.

A total of 167 existing homes were sold in neighborhoods in central London, including Kensington, Chelsea, Mayfair and Westminster last month. That’s 30 percent below the average volume for the time of year since 2010 and the weakest month since January 2009, according to data compiled by London-based broker Huntly Hooper cited by Bloomberg News.

“People are waiting to see what impact the stamp-duty change in April will have on the market,” Oliver Hooper, the broker’s director, told Bloomberg. “There’s a hold-off between buyers and sellers at the moment because of the discrepancy in pricing.”

Luxury sales have fallen since Chancellor of the Exchequer George Osborne increased the stamp duty transaction tax to as much as 12 percent for the most expensive properties in December 2014. And starting in April, investment properties and second homes in the U.K. are subject to a tax 3 percentage points higher than those purchasing a primary residence. [Bloomberg]Christopher Cameron


Related Articles

arrow_forward_ios
Nearly 100K homes sold across UK in August ahead of tax break expiration
Nearly 100K homes sold across UK in August ahead of tax break expiration
Nearly 100K homes sold across UK in August ahead of tax break expiration
London fire officials say over 1K buildings unsafe in a fire
London fire officials say over 1K buildings unsafe in a fire
London fire officials say over 1K buildings unsafe in a fire
Pete Townshend and the London mansion (Getty, Pereds)
Meet the old boss: Pete Townshend sells historic London mansion
Meet the old boss: Pete Townshend sells historic London mansion
London luxury homes sell at feverish pace
London luxury homes sell at feverish pace
London luxury homes sell at feverish pace
60 Sloane Avenue in London (Metrus)
Cardinal, broker indicted in real estate deal that cost Vatican millions
Cardinal, broker indicted in real estate deal that cost Vatican millions
A rendering of Pavilia Farm III and CK Asset Holdings chair Victor Li Tzar-kuoi (The Pavilia Farm 360, Getty)
Hong Kong housing prices race toward record highs
Hong Kong housing prices race toward record highs
The Savoy Hotel in London, UK in 1980 (Getty)
UK hospitality employers could cut half a million jobs
UK hospitality employers could cut half a million jobs
Hong Kong's Dragon Lodge. (HK Urbex)
Hauntings and superstitions keep some of Hong Kong’s desirable properties empty
Hauntings and superstitions keep some of Hong Kong’s desirable properties empty
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...