The great celebrity house price slump

Suddenly, stars can’t shift their mansions — no matter how many millions they lop off the price. Hankies out!

For those of us stuck in the mundane world of mortgages and rent, it’s hard to feel sorry for them, but spare a thought for celebrities trying — and failing — to sell their homes.

Palatial pads that would once have been snapped up within days are lingering on the market for months at a time, forcing sellers to slash the asking price.

So why are stars such as ricky Gervais and Jamie oliver struggling to sell?

They can blame Chancellor George osborne, who’s increased stamp duty for high-end houses, which could add more than a million to the price in some cases. For houses over £1.5million the stamp duty rate is 12 per cent.

The changes mean that if you buy a house for £11 million, you’ll pay £1.2million in stamp duty, or £1.5million if it’s your second home.

According to independent buying agent Henry Pryor: ‘The top end of the market has been severely undermined by the Government’s actions over the past 18 months. It means that properties over £1million suffer from “transaction friction” — they are harder to sell than they were.

‘Buyers are trying to pass the increased stamp duty bill on to the seller by getting them to drop the price.’