Another busy month for the UK property market, with no signs of the usual pre-Christmas slowdown as the latest data released from HMRC reveals that UK residential transactions in October 2020 were 8.1% higher than October 2019 and 9.8% higher than September 2020.
HMRC state that the provisional non-seasonally adjusted estimate of UK residential transactions in October 2020 is 121,740, 13.7% higher than October 2019 and 23.7% higher than September 2020.
According to the figures, the provisional seasonally adjusted and non-seasonally adjusted UK residential transactions estimates have both increased in October 2020 compared to September 2020 and October 2019. These provisional increases for UK residential transactions in October 2020 have likely been impacted by the continued release of pent up demand within the property market since March 2020, alongside impacts from temporarily increased nil rate bands for SDLT, LBTT and LTT.
In April and May 2020, UK residential transactions decreased by around 50% compared to April and May 2019, caused by economic impacts relating to COVID-19 and public health measures introduced by UK governments in response. Following significant decreases in April and May 2020, UK residential transactions have since increased incrementally each month, reflecting the gradual easing of coronavirus public health restrictions for the property market and the introduction of residential transaction tax holidays within the various UK administrations.