Last-minute delays and system backlogs could leave buyers paying more

The looming end of the Stamp Duty holiday on April 1 is creating mounting pressure for homebuyers, brokers, and lenders to complete transactions before tax exemptions expire.
Since September 2022, buyers of homes priced up to £250,000 have been exempt from Stamp Duty, while first-time buyers have enjoyed a higher threshold of £425,000. These temporary measures will revert to their previous levels soon, leaving buyers of homes above £125,000 or £425,000—at least for first-time buyers—liable for the tax.
The average property transaction takes around five months to finalise, meaning those who initiated mortgage applications after October 2023 may miss the cut-off. An increase in first-time buyer demand following the October Budget, which confirmed there would be no extension of the Stamp Duty holiday, has further congested the system.
Robert Sinclair, chief executive of the Association of Mortgage Intermediaries, emphasised the need to prepare borrowers for potential delays and added costs.
“Brokers and lenders are working hard to complete on as many affected cases as possible before 1st April, but there will no doubt be many which don’t beat the deadline. While no-one wants to be the bearer of bad news, it is better to have a well-informed client prepared for potential higher buying costs than one who is both disappointed and surprised,” Sinclair said.
Potential delays could be worsened by industrial action at the Land Registry, where staff are threatening to strike from January 21 over office return requirements. This could slow down title transfers, particularly for cases requiring manual intervention. Conveyancers are prioritising cases based on mortgage expiry dates to mitigate the risk of buyers needing new mortgage deals while also facing higher tax costs.
“It is more important than ever that we keep the lines of communication open between lender, broker and borrower in the weeks ahead,” said Kate Davies, executive director of the Intermediary Mortgage Lenders Association.
With limited time left, stakeholders across the property market are working to navigate delays and high demand to finalise transactions before the exemptions end. However, buyers are being urged to brace for the possibility of higher costs if completion cannot be achieved in time.