Home sales surge by 30% ahead of stamp duty rise

This figure marks the strongest March for home sales since 2007.

House prices also reached a new record in March, with the value of the typical home rising 6.9% (£18,745) year-on-year - the largest year-on-year growth since February 2015.

The London market saw a particular resurgance, with fastest growth of any region at 8.2% (£44,548) year-on-year.

Bath & North East Somerset saw the biggest boost of any local authority, with the value of homes in the city jumping 5.3% (£18,603) month-on-month. The city’s World Heritage Status makes it an ideal location for second-homes, while the growing student population has increased the demand for rental accommodation.

Adrian Gill, director of Reeds Rains and Your Move estate agents, commented:

“This Spring, with a frantic flurry of activity, the housing market has come to life. As a result of the impending stamp duty hike, this has been the strongest March for home sales in nine years. The surge was widespread across England and Wales, with a 30% upswing in transactions since February. This goes beyond any normal seasonality, with second-home and buy-to-let investors rushing to beat a bigger tax bill.

“The capital is once again leading the way with the largest house price growth of any region for the first time in over a year. This growth equates to an uplift of £122 each day, more than double the £58 earned from eight hours working at the Government’s new living wage. The lift in London’s house prices seems steep. But we’re actually in a much calmer position than previous years, with the current rise still well below London’s record 20.6% year-on-year growth, established in July 2014.
 
“However, this uptick in the capital’s property values means London is once again pulling away from the rest of the country, with London and the South East now dragging up national house price growth by 1.8% – double the rate seen at the end of 2015. As a result, we’ve returned to a two speed housing market, as growth in the rest of the country is easily outpaced by London and the South East. But it’s not all about London, as house prices are still advancing in the Northern cities, with the average property price in Manchester hitting a record high of £174,448, up 3.5% annually."