The “nil rate” stamp duty band, which was temporarily increased to £500,000 in 2020, has halved to £250,000 as of Thursday, July 1.
As of October 1, it will revert to its normal threshold of £125,000.
Six in 10 (61 per cent) home movers said their decision to move had been influenced by the stamp duty holiday, according to a survey by Churchill Home Insurance.
On average, UK house prices have increased by £10,246 in the past 12 months, property website Zoopla said.
Intense market activity encouraged by the stamp duty break has accelerated house price growth, pushing 1.8 million properties into a higher stamp duty bracket, while the average time it takes to sell a property has nearly halved, to 22 days in May 2021, compared with 42 days in May 2019, the report said.
It said this shows buyers are continuing to make moves regardless of the stamp duty deadline – with the majority of sales agreed in May unlikely to benefit from the maximum stamp duty holiday discount.
Grainne Gilmore, head of research at Zoopla, said: “Demand may ease further as the reopening of the economy allows people to do more and travel more widely, but, at the same time, the confirmation of working practices for office-based workers will lead to more home-buyers being able to push ahead with a move.
“The total stock of homes for sale continues to run well below historical norms, and this will underpin pricing. At the same time, it may also constrain potential activity, especially for buyers looking for family houses.
“Even so, we forecast that this year will be one of the busiest for the housing market since the global financial crisis – with 1.5 million residential transactions.”
Take a look at five excellent properties on the market in Leeds for under the new, lower stamp duty threshold...
7. Communal Gardens
Kym Cairns, Local Property Expert for Purplebricks said, "This one bedroom apartment is very close to Leeds city centre and local transport links, making it a great home for people who work at LGI or St James's Hospital.
8. Communal Gardens
“It's good value for money in comparison to other apartments for sale in Leeds; it has its EWS1 certificate and most one bed flats go for around £150/160k. It also benefits from communal gardens and allotments, an on-site gym and concierge. A perfect home for a first time buyer to get onto the property ladder,” Kym added. It is on the market for £140,000.
9. Property with potential
“The current owners have already secured planning permission and done the extensions to the house. This property is situated on a quiet cul-de-sac, and is a ten minute drive from Leeds city centre and from the M62 motorway where you can access the M1 for London, Manchester and Sheffield,” Daniel added. It is on the market for £250,000.
10. Property with potential
Daniel Shepherd, Local Property Expert for Purplebricks said, "With Stamp Duty changing on 30th June, there’s still some great properties on the market for £250k or less. This property is an absolutely brilliant buy in the area as there are not many four bedroom homes available.