Westminster, the borough of the rich and famous, has become the least popular London area to buy property in.
According to property portal eMoov, only 17% of homes put on the market in December were bought.
This is largely thanks to George Osborne’s stamp duty reforms announced in this year’s Autumn Statement, which will increase stamp duty bills for homes that cost over £937,000.
Back in February, 29% of properties put up for sale in Westminster – which includes Belgravia, Mayfair, and Knightsbridge – were snapped up.
Bexley was named the most desirable place to buy in, with 71% of homes sold that were on the market in December.
Demand in Hackney fell by 36%, and Tower Hamlets and Newham saw demand plummet by 35% and 33% respectively.
Russell Quirk, founder of eMoov, said: “The borough of Westminster has the highest average property price in the country (£1.7m) and with the Autumn Statement stamp duty reform only benefiting those paying up to £932,000, things are unlikely to pick up any time soon.
“Add to this the possible introduction of a mansion tax if Labour win the next election and we could see Westminster fall even further down the rankings.
“The market between £2m and £10m is dead. I am now walking away from buying anything over £2,000 a sq ft,” said Quirk.