According to new research, homeowners are moving less frequently than they used to because they are being put off by rising house prices and stamp duty.
The research by property website Hometrack suggests that homeowners moved on average every ten years in the 1980’s but are now delaying moving home by an average of an extra five years. The research also indicates that people are becoming more likely to invest in loft conversions, extensions, and other home improvement projects.
Financial services news website This is Money suggests that recent sharp increases in stamp duty is the major reason for the slow-down, citing the fact that stamp duty is now being charged at 3% on all homes over GBP250,000 and 4% over GBP500,000.
The UK government has come in for a lot of criticism for the way it has rearranged the way tax is collected on house purchases. Previously, all home buyers paid a flat tax rate of 1%, but this has now been changed so that those buying more expensive houses are charged at a higher tax rate.