Labour is planning a raft of policies set to send waves through the property market with consequences for first-time buyers,homeowners and landlords. We look at what is planned and what homeowners can do to protect themselves and benefit from the changes.

First-time buyers who dither could pay more stamp duty. Buyers stepping on to the first rung of the property ladder are currently enjoying a temporary stamp duty relief,which frees them of paying the tax on property purchases of up to £425,000.

This threshold was increased in September 2022 and is due to remain in place until the end of March next year. However,a Labour Party spokesman last month said the relief would not be extended,which means the threshold will fall back to £300,000.

The average price paid by UK first-time buyers hit £288,136 last year,according to comparison website Finder. However,buyers in many areas would be hard-pressed to find homes to buy below the £300,000 threshold.

Labour has proposed a number of policies that could affect house prices.

Firstly,it has pledged to build an extra 1.5 million new homes over the next five years.

That means 300,000 homes will need to be built each year – more than double the amount built in 2022-23. Labour says it will do this by cutting planning application delays,helping first-time buyers and building on ‘ugly’ green belt.

Should it achieve this,the large influx in housing stock could drive prices down in some areas,says Mr Lennox.

If there is a large exodus of landlords leaving the industry due to changes that make their investments less profitable,that too could drive down house prices.

However,conversely,people who have put off moving or buying a new home due to political uncertainty may now be sparked into action over the coming months.

‘If the election is met with a boost to consumer confidence,then that could be felt in gradual improvement to house prices and activity levels in the market,’ says Mr Hollingworth.

‘Assuming the Bank of England can cut interest rates,as is already widely expected,then borrowers should start to feel more optimistic and those who put off a move may come back to the market.’