As local estate agents working across Finchley, we pay close attention to national announcements that influence the property landscape. The Autumn Budget has now been delivered, and while some of the most talked-about changes didn’t materialise, several measures will still have a meaningful impact on the market in the years ahead.
To begin with, the Chancellor confirmed that Stamp Duty will stay exactly as it is. Many expected an update to thresholds, but none came. Likewise, Local Housing Allowance remains frozen, which is disappointing for renters and landlords alike. On the other hand, the Government is moving forward with a new high-value council tax surcharge—often described informally as a “mansion tax”—for homes worth over £2 million. Property income tax is also set to rise, and National Minimum Wage increases were confirmed.
Rental Market and Short-Term Let Changes
Landlords—especially those operating in areas with strong rental demand such as Finchley—should note that from April 2027, property income tax will rise by 2 percentage points across all three rates (bringing them to 22%, 42% and 47%).
In addition, regional mayors will gain the power to introduce an overnight visitor levy, which could apply to short-term lets. Models already in development in Wales and Scotland give us an idea of what to expect, and a formal consultation will explore the fine details.
For many landlords, these announcements add to a long line of policy changes over the past decade. Adjustments to mortgage interest relief, increased stamp duty surcharges, reduced CGT allowances and the requirements of the Renters’ Rights Act have all steadily reduced net returns. Nationally, this is likely to discourage new investment and could gradually reduce rental supply—pushing rents upward if demand continues to grow.
Sales Market Outlook
The new High Value Council Tax Surcharge will come into effect in April 2028, applying only to properties valued above £2 million, with annual rates between £2,500 and £7,500 depending on the band. While this affects a small proportion of Finchley homes, it’s an important shift at the top end of the market.
Across the wider UK, forecasts remain cautiously optimistic. Average property values are projected to rise from around £260,000 in 2024 to just under £305,000 in 2030. From 2026 onwards, annual house price growth is expected to settle at roughly 2.5%, keeping pace with typical earnings growth.
One thing the Budget doesn’t directly solve is the inefficiency of the buying and selling process. Too many transactions still fall through or experience long delays. The Government’s ongoing consultation on modernising home moves is therefore very welcome.
Key Headlines for Finchley Homeowners, Buyers and Landlords
Stamp Duty unaffected
No updates to thresholds or structure, despite heavy anticipation of reform.
Property income tax increasing in 2027
A 2% rise across all bands, posing fresh challenges for landlords.
Visitor levy powers being introduced
Local mayors could apply a nightly tax on short stays, influencing short-term let profitability.
New high-value council tax bands from 2028
Annual charges ranging from £2,500 to £7,500 for homes above £2 million.
UK house prices expected to continue a steady rise
Forecast to reach just under £305,000 by 2030, with moderate annual growth.
Government consultation on improving the home-moving process
Aims to cut fall-throughs, reduce delays and make transactions more efficient for all parties.
If you’re planning your next move in Finchley—whether upsizing, downsizing, investing or simply keeping an eye on the market—our team is here to help you make sense of these changes and how they might shape your property decisions.
Whatever move you wish to make, David Harris & Co is here for you
At David Harris & Co, we understand what makes Finchley unique. Whether you’re buying, selling, or renting, our local expertise ensures we can guide you to the best decisions for your needs.
Ready to explore Finchley’s lettings market? Contact David Harris & Co for expert advice and a stress-free experience. Call us on 0208 346 9122 to get started.
