Conveyancing service provider Myhomemove has estimated that UK homeowners have saved £701 million in the six months since the introduction of the Stamp Duty Land Tax reforms on 4 December last year.
The changes to how stamp duty is levied cut the tax for the 98% of people purchasing homes under £937,500. The research says that each house buyer below this level saving an average of £1,400.
Doug Crawford, CEO of Myhomemove, said: “The stamp duty reforms have saved UK home buyers a significant amount of money since its introduction and provided an important boost to the property market, just as house transactions were starting to slow down in the run up to the general election.
“The changes have a particularly positive impact on those struggling the most to get onto the property ladder, first-time-buyers, as they can now save more money towards a deposit for their purchase.
“Under the old ‘slab’ system, there was a substantial increase in price at the stamp duty thresholds, which the reforms have reduced significantly, leading to greater movement up the property ladder and enabling homeowners to aspire to own properties that would have previously been unobtainable.
“While there are losers from the changes, these are a small minority of buyers. For them, the risk of a prospective ‘mansion tax’ was far greater than the increase in stamp duty. Early signs indicate that the election result has reassured buyers of higher value properties, with many estate agents reporting a buoyant market at the top.”