Property Watch – November 2022 UK residential property transactions
The graph below shows the UK housing market transactions for the year to 30 November 2022 with comparatives for the same period in 2021, as reported by HMRC through Stamp Duty Land Tax (SDLT) reporting.
The graph above shows:
- The November 2022 residential property transactions amounted to 114,200 transactions which were 12.1% up from November 2021 and 3.6% up from October 2022.
- The November 2022 transactions are the second largest of the past year, the September 2022 transactions were the largest over the past twelve-month period at 114,460 transactions. The August 2022 transactions were the third largest over this period.
- Not shown in the above graph, but the November 2022 transactions were higher than the November 2019 (pre-COVID) transactions by 3,990 transactions (3.6% higher).
- The Bank of England base rate increased from 2.25% to 3.00% on 3 November 2022 (0.1% in November 2021).
The transactions split by location in November 2022 were as follows:
Key points to note:
- The transaction spikes in March 2021 and June 2021 were a result of the expected and extended end to the £500k SDLT holiday enacted in response to the COVID-19 pandemic.
- The September 2021 transaction spike was a result of the end of the £250k SDLT holiday enacted in response to the COVID-19 pandemic.
The October 2022 transactions in the above graph are 1,350 lower than those reported in our October 2022 issue of this circular (which can be viewed here) this is a result of more data being collected throughout the last month to support the transaction data reported.
UK residential property transaction prices to October 2022
The latest residential price data, as provided by HM Land Registry to October 2022 shows that prices were 12.6% up at an average price of £296,422 compared to October 2021’s average of £263,333.
Residential property prices are 27.3% up from October 2019 (pre-COVID) where the average was £232,919 per the Land Registry data.
The graphs below show the change in average residential property transaction values over the past four years and the monthly change in the year to October 2022.
Although prices across the UK have gone up over the last year, the growth is starting to plateau and in some regions, these have fallen. In particular, London house prices fell 0.9% from an average price of £546,672 in September 2022 to £541,720 in October 2022.
Please note that the above data and trends may not be consistent with published data from other data collectors such as property sites (Rightmove etc.) or banks.
Ballards LLP’s property team has extensive experience acting for property-related businesses and can assist investors, developers, and associated trades with all financial property matters including; tax-efficient structuring, SDLT planning, Annual Tax on Enveloped Dwellings planning and reporting, and any other financial matters associated with property ownership. We act for all sizes of businesses.
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To view past editions of this circular and other topical tax and business insights please visit: ballardsllp.com/insights
Contains HM Revenue & Customs © Crown copyright data.
Contains HM Land Registry data © Crown copyright and database right 2020. This data is licensed under the Open Government Licence v3.0.
Disclaimer. This article has been prepared for information purposes only. Formal professional advice is strongly recommended before making decisions on the topics discussed in this release. No responsibility for any loss to any person acting, or not acting, as a result of this release can be accepted by us, or any person affiliated to us.