A quarter of properties sold in Q3 were BTL or second homes

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A quarter of properties bought in the third quarter of 2016 were buy-to-let or second homes, according to new figures from HMRC.

The latest stamp duty land tax statistics show that 56,100 properties out of 235,000 eligible to pay stamp duty in Q3 paid the extra 3 per cent surcharge levied on second homes since April.

The figure of 235,000 property transactions eligible for SDLT in the third quarter was 13 per cent higher than the previous quarter and 1 per cent higher than Q3 2015.

The extra 3 per cent tax on these properties has raised £670m in the year so far.

There have been around 86,400 property sales since April eligible for the surcharge.

An HMRC statement says: “Following feedback from our users, we have included a quarterly estimate of the amount of SDLT paid due only to the 3 per cent higher rate on additional properties.”

Legal & General Mortgage Club director Jeremy Duncombe says: “Given the turbulence in Britain’s political landscape in the last six months, it’s reassuring to see that today’s statistics have not shown a drastic drop in transaction numbers.

 “It is comforting to see that the number of property transactions under £250,000 is continuing to rise – even if higher value property transactions have declined year on year.

“At the top end of the market, Stamp duty increases and market uncertainty have led to a slowdown above the £1m mark. At this level, homeowners are having to carefully weigh up the significant costs of moving.”