Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Rightmove: Removing Stamp Duty Could Aid First-Time Buyers of New Builds

The number of new-build developments coming to the UK market is at its lowest since 2017, according to Rightmove. The property portal has suggested that removing stamp duty for first-time buyers (FTBs) could improve affordability and access to both new-build and resale homes.

Rightmove has called on the government to support developers in the upcoming Autumn Budget, highlighting the need for targeted demand-side support for first-time buyers. The company noted that the average mortgage rate is currently 4.92%, up from 3.53% four years ago, which has contributed to demand constraints for buyers, developers, and estate agents.

The government’s First Homes scheme is currently in place to help first-time buyers purchase new-build properties. However, Rightmove has proposed that further measures, such as the removal of stamp duty for FTBs, are needed to improve affordability.

The government has also launched a consultation on a new First Time Buyer ISA, with a proposed property value limit of £450,000. According to the April 2026 UK house price index, the average price of a new build is £393,000.

Industry figures have commented on the challenges facing first-time buyers. Steve Mariner of Barratt Redrow noted that while planning reforms have unlocked more land for development, increasing regulatory costs, low customer confidence, higher borrowing costs, and economic uncertainty are making it harder for first-time buyers to get onto the housing ladder.

Danni Hewson of AJ Bell stated that consulting on a new First Time Buyer ISA could be positive, but key details are yet to be announced. She also suggested that changes to the current Lifetime ISA, such as lifting the £450,000 limit, could have provided quicker support.

Alex Slater, Rightmove’s director of new homes, said that first-time buyers are crucial to the housing market, but affordability is becoming more difficult. He called for a set of reforms, including stamp duty changes and more investment in affordable housing.

Nicholas Mendes of John Charcol pointed out that new builds make up a small share of overall transactions, and that total stock for sale is up 85% on four years ago. He noted that high stock levels mean there is room to negotiate on existing homes, and that first-time buyers should explore available options.

For letting agents and inventory clerks, these developments may impact demand for rental properties and the availability of new-build stock in the market.