Due to the Covid-19 pandemic, the UK real estate market in 2020 was severely hit. In the first lockdown, the government put a complete ban on real estate activity, which led to a sudden halt in the real estate market. Once the first lockdown opened, the UK government did allow real estate transactions during the second and third lockdown, but the damage had already been done. The buyer was no longer confident, sellers were unsure of the future of the real estate market, and the banks were a little too strict about their lending criteria, none of which helped the real estate market. As the government announced the stamp duty holiday, things started to pick up. Given that the vaccine has been rolled out and the Covid-19 crisis has been considerably controlled in the UK, let’s see what the future holds for the UK property market.
Change in buyer preference
Due to the Covid-19 pandemic, most people started working from home. As more and more people spent time at their own homes, as opposed to spending endless hours at their workplace, the need for a bigger and better house, as well as an upgrade in lifestyle, started to rise. Homeowners and potential buyers wanted to live in bigger houses, with outdoor spaces, private gardens and spare bedrooms that could be converted into home offices. Due to this change in buyer preference, the demand for property in the outskirts and boroughs started to increase significantly. Of course, houses and property in the outskirts are relatively cheaper when compared to homes in the city centre, so buyers could purchase bigger homes in their given budget. As a result, towns and counties such as Stafford, West Yorkshire, Suffolk and Oxfordshire became increasingly popular. If you’ve been thinking about moving homes, now is the time to get in touch with estate agents in Stafford.
Spike in real estate activity
According to new predictions, the total value of homes sold in the UK is supposed to reach a whopping £461 billion. As per Zoopla, the current housing market will boom in 2021, increasing 46 per cent in the total value of homes sold in the UK. Now might be the right time to start pondering over the question on everyone’s mind, how much is my property worth? Studies and research from the Office for National Statistics have observed that the average price of property in the UK has gone up 10.2 per cent in one year, which has been the highest since 2007. If these figures and predictions are actually accurate, then 2021 will be the busiest year for the UK property market after 2007! If we combine these predictions with the change in buyer preference, very soon, the prices of real estate in small towns, outskirts and suburbs will sky-rocket. So, if you’ve got a home in a town like Stafford, or you’re looking to buy a place in the suburbs, it’s time to book a property valuation Stafford.
Growth in every sector
Another important thing to remember is that the nature of this recession is very different. Due to the Covid-19 pandemic, every industry, every business and every sector in the UK was majorly impacted. So, as the country starts to pick up and the economy starts to revive, every industry, business and sector will flourish equally. As the country starts to do better, the overall economy will start to revive, which in turn will help every sector in the UK. Government initiatives such as the stamp duty holiday and the mortgage guarantee scheme were essentially created to boost the economy and hence boost the property market! As businesses boom, profits and employment will increase, the demand for housing is sure to rise.