Signs of resilience beyond the SDLT bubble
The first quarter of 2025 showed underlying signs of market resilience and a stable transaction pipeline following the surge in completions ahead of the Stamp Duty Land Tax (SDLT) reversal deadline in England and Wales.
Completions were up 30% year-on-year in Q1 2025, with a 71% year-on-year peak recorded in March alone as buyers rushed to complete. Beyond this much-anticipated bubble of activity, various indicators point to a more resilient property market heading into Q2.
However, affordability remains a constraint. While property listings remained high in Q1 2025, finishing 1% up on Q1 2024, demand still trailed behind.
This is likely in response to ongoing financial challenges facing consumers in the current economic climate. In Scotland, the property market remained healthy. With no comparable changes to the Land and Buildings Transaction Tax (LBTT – the Scottish equivalent of SDLT), the Scottish market avoided any market distortion.
Other key findings from Q1 ‘25 include:
- Listings volumes in Q1 ‘25 were comparable to Q1 ‘24, up by just 1%
- In Scotland, listing volumes were up 11% compared to Q1 ‘24
- In England and Wales, SSTC volumes were down 9% vs Q1 ‘24
- SSTM levels in Scotland were up 11% compared to Q1 ‘24
- Completions were up 30% in England and Wales v2 Q1 ‘24
- In Scotland, completions were up 18% compared to Q1 ‘24
Download the report to discover the latest trends impacting the residential sector in Q1 2025.