It’s been a tumultuous year for the property market, with many turns along the way thanks to the effects of the pandemic. Not only has the race for space resulted in higher demand in what’s been a significantly low supply arena; the stamp duty holiday deadline has additionally caused a housing frenzy throughout the UK, with many Brits having to pay over the odds on homes and moving costs due to the rush. On top of that, inflation rates have been a key topic of interest for not only businesses but also the property sector, as homebuyers and real estate agents nervously await the Bank of England’s highly anticipated announcement.
With all this in mind, CEO of iPlace Global and creator of Moveable recently spoke to The Daily Express about his predictions for the property market for the New Year, emphasising that there are new property requirements that will ultimately drive buyers out of the city and into the country.
What are the new property requirements?
With the introduction of hybrid and remote working schemes, research from Moveable found that 63% of home movers have stated that outside spaces are now the most important thing when searching for a new property. On top of that, Moveable’s research shows that 41% of home movers are no longer considering commute times when searching for a house. It is clear that the newly established forms of flexible working schemes are truly making an impact on housing, as 50% of Londoners will not even attempt to buy a property in the city. With outrageous prices and the lack of space, homebuyers are branching out to cheaper neighbourhoods in the country and regions, fit with larger spaces to spend their time in.
Growing house prices
The growth of house prices returned to double digits this month, after HM Revenue and Customs found that house sales in October were 28% lower than the previous year. According to the Nationwide Building Society, the average house price has increased from 9.9% to 10%; now being 7.2 times the typical earnings around the UK, and 9 times the earnings in London. The pandemic has subsequently resulted in a reduced supply of homes all around the UK, meaning that prices are rapidly increasing due to the high demand. Consequently, this means that buyers are constantly paying over the odds for not only homes, but for costs associated with moving homes.
Another potential deadline
Inflation has continued to steadily increase throughout the year, and it is predicted to rise to 5% by April next year. This means that all eyes are on The Bank of England, with increasing pressure to increase interest rates, and along with it, mortgage prices. Because it is likely that house prices will only continue to increase alongside demand, there is a strong chance that Brits will begin to race to secure a home before having to face another potential ‘deadline’.
How can Moveable help?
Moveable is a free and easy-to-use service that helps you with the complicated process of buying a home. With migration patterns heading outside the city and into the regions, many homebuyers will be looking to navigate new geographies, and needing new suppliers to assist with the move. Moveable ensures that people have the ability to research the best partners and platforms to ensure that people don’t lose money due to the lack of knowledge. It has everything you need including expert guides, price-comparison and timesaving tools – all in one convenient package that helps you with your move!
Sign up here: https://app.moveable.uk/welcome