Speculation over wide-ranging property tax reforms is already hitting the housing market, with research showing fewer listings, more withdrawals, and nervous buyers and sellers holding back ahead of the Autumn Budget.

Chancellor Rachel Reeves is reported to be weighing major reforms, including:

• Replacing Stamp Duty with a new national property tax on sellers, applied to sales above £500,000.

• Imposing a wealth tax or higher capital gains charges on sales above £1.5m.

While no decisions have been confirmed, the uncertainty is already rippling through the market.

Market impacts so far (PriceHubble analysis):

• New listings fell 6.1% in late August compared to early August.

• Withdrawals rose 23%, with the sharpest rise (+27%) among homes under £500,000.

• Homes above £1.5m saw a small uptick in listings, as sellers rush to beat potential new charges.

• Almost half of estate agents report fewer listings, fewer buyers, and more fall-throughs.

• Downsizers are among those delaying moves until there’s more clarity.

PriceHubble warns the market is likely to “enter a holding pattern” until November, with sellers at the top end accelerating deals and buyers at the lower end waiting for clarity.

What this means for landlords and investors

• Transaction slowdown: Fewer listings and more withdrawn properties could create a supply squeeze in the short term.

• Possible opportunities: If Stamp Duty is replaced, mid-market homes (£500k and under) could become more attractive, boosting rental yields in commuter and regional markets.

• High-end uncertainty: Owners of prime properties may face heavier taxation, which could reshape luxury rental demand as more owners hold rather than sell.

• Policy risk: As with Section 24 and other past reforms, landlords face the challenge of adapting investment strategies amid shifting tax policy.