House prices moved higher in November as a looming deadline on stamp duty exemptions pushed up demand, Zoopla has reported.
Year on year, prices increased by 1.9% in November to an average of £267,500 as the sales pipeline grew by 30% to 283,000 homes collectively worth £104 billion.
Many buyers were rushing to avoid higher stamp duty before thresholds were dropped from April, Zoopla noted.
This will see stamp duty paid on homes worth £125,000, against £250,000 previously, with first-time buyers facing a drop in the threshold from £425,000 to £300,000.
The sales pipeline had hit its highest level in four years as a result as buyers also returned to the market following years of inflated mortgage rates, Zoopla added.
Uncertainty around the direction of mortgage rates had seen buyers become more price sensitive though, with sales being agreed at 3.6% below asking prices.
“Buyers and sellers returned to the housing market in 2024 having delayed moves in the face of higher mortgage rates,” Zoopla executive director Richard Donnell commented.
“There is a sizable pipeline of sales that will complete in the first half of 2025 with many hoping to avoid higher stamp duty costs from next April.
“More sales have supported a return to house price growth across the country but home buyers have become more price-sensitive in recent weeks as mortgage rates drift higher.”