Mr Stroud said he was told by a council officer that the premium tax could rise by 300% depending on how long properties were empty.
He said: “If you want people to do up houses this is literally the worst thing you can be doing.
“I won’t be buying any houses in County Durham again.”
Mr Cliff said the law was brought in to deter landlords from leaving properties empty.
“The empty homes premium is introduced as a deterrent and disincentive for owners to retain empty and unoccupied properties, unfortunately the legislation means that the charge is transferred to a new owner on completion of a purchase,” he said.
“We’re also seeing local authorities recognising that this is as an additional source of income, which is not the intended outcome for why the premiums were introduced.”
The Empty Homes Network is currently lobbying for a change to the legislation to give empty homes officers more powers to help new owners renovate properties.
