Recent data has revealed that house prices in Wales have been significantly impacted by the introduction of the Land Transaction Tax (LTT).
According to figures from LSL, national average prices in Wales have seen an annual uplift of 4.8% – a substantially modest rise compared to the 10% rise which prices in Cardiff and Swansea saw during the same period.
The starting threshold for LTT is £180,000, higher than that of stamp duty land tax in England which start at £125,000. However, the tax is at a higher rate for properties which fit within a certain threshold – more information on LTT can be found here.
The rise in prices has been attributed to an influx of buyers, which LSL state were eager to complete their purchase before the tax was introduced. This can be likened to the 2016 introduction of stamp duty land tax, where a similar trend was observed.