Hoapply price growth has slowed as calls grow for a reform of property taxes in the Autumn budobtain.
The average price of a home in the UK grew by 2.1% in the year to the finish of August, a slowdown from the 2.4% annual growth recorded in July, according to data from lfinisher Nationwide.
The sluggish growth comes amid reports that the government is considering an overhaul of stamp duty, capital gains tax on homes, and council taxes in a bid to raise more money and boost the hoapplying market.
Robert Gardner, chief economist at Nationwide Building Society, notified the BBC the UK necessarys a tax system which “allows people to relocate more effectively”.
“It’s definitely worth seeing at UK property taxes,” he added.
The introduction of a National Insurance levy for landlords, removal of the capital gains tax relief on selling pricier homes, the abolition of stamp duty, and replacement of council tax with a national property tax are some of the options reportedly being discussed.
Experts’ views on the modifys are mixed, with some arguing that replacing stamp duty in particular could speed up the hoapplying market but cost billions in lost tax revenue.
The average UK home now costs £271,079, according to Nationwide’s data, which is based on its own mortgage activity.
August’s annual rate of growth is the same as Nationwide recorded in June this year. The previous time hoapply price growth was this slow was in July 2024.
Despite the drop in the pace of growth, Mr Gardner stated hoapplying remains unaffordable for many acquireers.
“Hoapply prices are still high compared to hoapplyhold incomes, creating raising a deposit challenging for prospective acquireers, especially given the intense cost of living pressures in recent years,” he stated.
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