Foxtons’s revenue for the first quarter of the year was £38.4m – a 16.2% increase on Q1 2015.
In a trading update the estate agent said performance was driven by a 28.5% increase in property sales commissions owing to more transactions before the April stamp duty increase on second homes.
However, it warned that the rush to beat the 3% stamp duty surcharge on buy-to-let investments and second homes meant the sales pipeline for the second quarter would be lower.
Chief executive Nic Budden said: “We expect the first half of the year to be challenging, with a reduced sales pipeline entering into Q2 and the underlying short-term impact on transaction volumes from the uncertainty around the European referendum.”
It said lettings revenue was flat as tenants continued to renew existing tenancies and enter into longer tenancy periods, while Alexander Hall, Foxtons’ mortgage broker, saw revenue growth of 57.6% during the quarter.
Foxtons opened four new branches in Q1, and intends to open a further three this year.
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