First-time buyers in London will pay around £17,827 in stamp duty on average after changes to the tax, a rise from £11,419.
From 1 April, the first-time buyer threshold will be revised down from £425,000 to £300,000, with properties priced between £300,001 and £500,000 taxed at 5%, and the maximum property value eligible for first-time buyer relief will drop from £625,000 to £500,000.
Research from Mojo Mortgages shows that around 15 London boroughs will see the maximum increase of £11,250, including Barnet, Brent, Ealing and Hackney.
Approximately 17 boroughs will see additional stamp duty costs of around £2,500.
The report found that first-time buyers in Havering, Bexley and Croydon, who currently pay no stamp duty, will pay around £11,150, £10,300 and £10,150 respectively.
Barking and Dagenham has the lowest average house price, at £344,000, and will see stamp duty of £7,500 for first-time buyers.
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The most expensive borough, Kensington and Chelsea – with an average house price of around £1.07m – will see stamp duty increase by £2,500 to £50,750.
Westminster, the second-most expensive brough, will have the highest first-time buyer stamp duty bill of around £33,000 post-stamp duty changes.
John Fraser-Tucker, head of mortgages at Mojo Mortgages, said: “These changes represent a significant shift for first-time buyers in London. With the nil-rate threshold dropping to £300,000 and maximum relief reduced to £500,000, many buyers may find themselves facing unexpected costs.
“It’s key for prospective homeowners to act quickly and consider properties just below these thresholds to minimise their stamp duty burden.”
| London borough | Average house price | Stamp duty before deadline (until 31 March) | Stamp duty after deadline (after 1 April) | Additional cost |
| Barnet | £593,000 | £8,400 | £19,650 | £11,250 |
| Brent | £546,000 | £6,050 | £17,300 | £11,250 |
| Bromley | £509,000 | £4,200 | £15,450 | £11,250 |
| Ealing | £542,000 | £5,850 | £17,100 | £11,250 |
| Enfield | £452,000 | £1,350 | £12,600 | £11,250 |
| Greenwich | £458,000 | £1,650 | £12,900 | £11,250 |
| Hackney | £588,000 | £8,150 | £19,400 | £11,250 |
| Haringey | £574,000 | £7,450 | £18,700 | £11,250 |
| Harrow | £526,000 | £5,050 | £16,300 | £11,250 |
| Hillingdon | £465,000 | £2,000 | £13,250 | £11,250 |
| Hounslow | £454,000 | £1,450 | £12,700 | £11,250 |
| Havering | £423,000 | £0 | £11,150 | £11,150 |
| Bexley | £406,000 | £0 | £10,300 | £10,300 |
| Croydon | £403,000 | £0 | £10,150 | £10,150 |
| Barking and Dagenham | £344,000 | £0 | £7,200 | £7,200 |
| Camden | £816,000 | £28,300 | £30,800 | £2,500 |
| City of Westminster | £866,000 | £30,800 | £33,300 | £2,500 |
| Hammersmith and Fulham | £712,000 | £23,100 | £25,600 | £2,500 |
| Islington | £643,000 | £19,650 | £22,150 | £2,500 |
| Kensington and Chelsea | £1,070,000 | £48,250 | £50,750 | £2,500 |
| Kingston upon Thames | £546,000 | £14,800 | £17,300 | £2,500 |
| Lambeth | £528,000 | £13,900 | £16,400 | £2,500 |
| Lewisham | £463,000 | £10,650 | £13,150 | £2,500 |
| Merton | £571,000 | £16,050 | £18,550 | £2,500 |
| Newham | £400,000 | £7,500 | £10,000 | £2,500 |
| Redbridge | £499,000 | £12,450 | £14,950 | £2,500 |
| Richmond upon Thames | £745,000 | £24,750 | £27,250 | £2,500 |
| Southwark | £502,000 | £12,600 | £15,100 | £2,500 |
| Sutton | £445,000 | £9,750 | £12,250 | £2,500 |
| Tower Hamlets | £472,000 | £11,100 | £13,600 | £2,500 |
| Waltham Forest | £504,000 | £12,700 | £15,200 | £2,500 |
| Wandsworth | £599,000 | £17,450 | £19,950 | £2,500 |
| Average | £552,000 | £11,419 | £17,827 | £6,408 |
