February housing transactions jump amidst SDLT rush for first time buyers

Residential property transactions in February 2025 were 28% higher than February 2024 and 13% higher than January 2025. 

For the same period, the number of seasonally adjusted non-residential transactions is 10,090, 1% higher than February 2024 and 8% higher than January 2025. 

Commenting on the , Stacy Eden, partner and Head of Real Estate at 91探花, said: "Residential property transactions for February 2025 were 13% higher than the previous year and is the highest number of transactions since December 2022. This is an indication that the market remains buoyant, although the impact of future stamp duty land tax (SDLT) rises is artificially boosting the transaction levels amongst first time buyers. However, the market is showing further signs of moving in the right direction, with transactions between April and February 2025 sitting 25% above the same period for last year.

“The rise in transactions has been driven by expectations of a return to low-level growth, a steady fall in interest rates towards 4%, and increased mortgage availability. But, with debt yields rising, future SDLT increases, and additional fiscal constraints, there is some concern that residential transactions may see a downturn if market confidence dips, with the initial RICS survey also pointing to a slight slowdown.”

He added: “It is therefore important the government continues to push forward with policies and investment to ensure housebuilding targets are realised, by focusing on development and planning.

However, government must also ensure home ownership is accessible following changes to SDLT while also incentivising inward investment to maintain liquidity in the market.”