Four in five London homes shed value as mortgage costs soar

The vast majority of homes in London are losing value, prompting calls for John Healey to cut stamp duty at the Budget later this week. Across the capital and the south east of England, 85 per cent of homes have fallen in the last year, according to property portal Zoopla, compared to 35 per cent in the UK as a whole. London’s property market has borne the brunt of rising mortgage costs and falling demand for homes since the Iran war, as housebuilders urge the government to boost affordability. The average home in the capital is worth £5,400 less than it was a year ago, according to Zoopla, while house prices in the north west are £6,600 higher. Londoners are bearing the brunt from stamp duty because house prices are so much higher in the capital. Prospective homeowners are forced to lower their asking prices because buyers cannot afford the tax, according to Zoopla. The homes portal said extending the two per cent stamp duty band would save home movers up to £7,500