Stamp Duty Holiday – deals at risk because of slow searches

Thousands of sales are at risk because slow searches by councils may prevent deals completing by the next stamp duty holiday deadline.

With just under eight weeks to go until the June 30 deadline – beyond which the stamp duty holiday advantage reduces – a mortgage firm has identified the slowest councils.

Mojo Mortgages has looked at the current waiting times for local authority searches to be completed – a determining factor that’s having a major impact on the length of time between a memo of sale and completion.

Search time varies from just five days up to more than six months for some councils.

After combining the latest local authority search data with the average remaining conveyancing time of nine weeks suggested by the consumer group HomeOwners Alliance, the research calculated the average total conveyancing time for each local authority.

Those purchasing a property in Ashfield District in Nottinghamshire were least likely to be affected by delays in returning local authority searches, taking five days on average.

A number of other local councils including Bassetlaw, East Devon and Norwich City Council also reported speedy searches taking six days.

At the other end of the spectrum, transactions in Hackney – where the council is still recovering its IT system from a hack – could face local authority search delays of more than six months (180 working days), with Havering (90 working days) and Dorset Council (70 working days) also reporting some of the slowest responses in the country.

Other local councils faring poorly in this research include Durham County Council, Newcastle City Council and Lewisham Council.

Mojo Mortgages chief executive Richard Hayes says:

“The recent extension is good news for the many thousands of buyers still currently worried they would miss these savings, however with just eight weeks to go until the deadline there will be many wondering if they are going to complete on time, with conveyancers doing all they can to keep clients happy.

“Although these times are average and theoretical, they do help people realise how long things can take, and how tight it could be.”

And David Darlington, a partner at conveyancing firm Fieldings Porter, adds:

“Even those [transactions] which start now do not have a guarantee that they will complete in time for the end of June, but there is still a chance. It will partly be down to the requirements of the lender and buyer in relation to searches and the lead times in the locality.

“We have seen some searches coming back within a couple of days from one local authority and taking five to six weeks for a neighbouring one so buyers should discuss this with their solicitor or conveyancer as soon as they instruct them if the stamp duty deadline is important to them.”

The ten and equal councils with the fastest local authority searches and least likely to delay conveyancing ahead of Stamp Duty deadline on 30 June 2021

Local Authority	Working days delay in returning searches	How many weeks?	Total conveyancing time (weeks)
Ashfield District Council	5	1	10
Bassetlaw District Council	6	1.2	10.2
Cheshire East Council	6	1.2	10.2
Crawley Borough Council	6	1.2	10.2
East Devon District Council	6	1.2	10.2
Eastbourne Borough Council	6	1.2	10.2
Haringey Council	6	1.2	10.2
North Lincolnshire Council	6	1.2	10.2
Norwich City Council	6	1.2	10.2
South Gloucestershire Council	6	1.2	10.2
Stroud District Council	6	1.2	10.2
Uttlesford District Council	6	1.2	10.2

The councils with the slowest local authority searches and most likely to delay conveyancing ahead of Stamp Duty deadline on 30 June 2021

Local Authority	Working days delay in returning searches	How many weeks?	Total conveyancing time (weeks)
Hackney Council	180	36	45
London Borough of Havering	90	16	25
Dorset Council	70	14	23
Durham County Council	65	13	22
Newcastle City Council	50	10	19
Lewisham Council	45	9	18
Lichfield District Council	40	8	17
Plymouth City Council	40	8	17
Salisbury City Council	35	7	16
South Staffordshire District Council	35	7	16
Wiltshire Council	35	7	16
Barnet Council	35	7	16