UK residential property transactions fell off a cliff in April 2025, plunging 64% from March and 28% year-on-year, as the return of pre-pandemic Stamp Duty thresholds took a heavy toll on buyer behaviour. Yet, for switched-on landlords and property investors, the post-stamp-duty dip could offer more opportunity than threat.
According to HMRC’s latest figures, just 64,680 seasonally adjusted residential transactions were recorded in April—down from 177,440 the month before. The non-seasonally adjusted figure tells an even starker story: a 66% month-on-month collapse, marking the sharpest decline since records began.
The main culprit? The end of temporary SDLT reliefs on 1 April. The nil-rate threshold, previously £250,000, was slashed to £125,000, while the first-time buyer exemption dropped from £425,000 to £300,000—prompting a March buying spree and April fallout.
Stamp Duty shock sends numbers tumbling
This latest downturn, while dramatic, wasn’t entirely unexpected. As Richard Donnell, Executive Director at Zoopla, explained: “Today’s transaction data reflects the rush to beat the stamp duty holiday, which is still impacting the numbers from sales agreed 3-5 months ago.” He added that after a slow Easter period, activity is now rebounding: “Sales agreed have reached their fastest pace in four years… We anticipate this momentum will lead to 1.15 million sales in 2025, a 5% increase from 2024.”
Non-residential property wasn’t spared either. Commercial and mixed-use transactions fell to 9,410 (seasonally adjusted)—a 16% drop from March and 9% below April 2024. This reflects broader hesitancy in a market wrestling with interest rate uncertainty and cautious institutional investment.
Still, while owner-occupiers and first-time buyers may be rattled, professional landlords are not. April’s dip has cooled competition and created pockets of opportunity, particularly for cash buyers and portfolio landlords looking to expand. With a larger supply of properties lingering on the market post-March, investors may find themselves in a stronger negotiating position.
Landlords eye opportunity as sentiment shifts
Nathan Emerson, CEO of Propertymark, described the numbers as a snapshot of uncertainty: “Today’s figures demonstrate the challenging journey many who approached the buying and selling process were experiencing just prior to the Stamp Duty threshold changes.” He pointed to multiple pressures on the market: “A delicate global economy, inflation currently sitting at 3.5 per cent, and the Bank of England rightly displaying caution regarding any lowering of the base rate.”
However, landlords are often better placed to weather these storms—and even benefit from them. With house prices softening in many regions and rental demand remaining sky-high, seasoned investors know that short-term volatility often seeds long-term gain.
Cambridge-based landlord Saira Malik, who added two buy-to-lets to her portfolio in April, put it bluntly: “April was quiet, yes—but sellers were suddenly more flexible. I negotiated both below asking price. In this market, cash is still king.”
Stamp duty changes may have opened the door for landlords
The end of temporary SDLT reliefs might have closed the door for some would-be homeowners, but it could be nudging the pendulum back in favour of landlords—especially those with capital or creative financing.
With mortgage stress tests loosening slightly, buyer numbers climbing post-Easter, and inflation starting to stabilise, conditions are slowly aligning for a summer bounce. The Bank of England’s next move on interest rates will be pivotal—but for now, landlords watching the market closely may find themselves entering what could be the calm before another competitive storm.
The latest UK monthly property transactions commentary was released today.
