At BR Estate Agent, we know there is significant demand for property right now. We have worked closely with many prospective buyers and vendors of late. However, even with the stamp duty holiday tapering off, we remain convinced there is considerable demand for homes, and this will remain in place for some time to come.
We are not alone in thinking like this.
Research suggests confidence is robust
Market analysis carried out by the Building Societies Association (BSA) found:
- 30% of respondents think this is a good time to buy property
- This 30% is a drop from the 37% of respondents who said March was a good time to buy property, which is likely linked to the tapering off of the stamp duty holiday period, and the increase in property prices
What matters to property buyers?
The study spoke to people who are likely to move home or who will buy their first home in the next six months, and the following findings were made:
- Location remains the leading priority for property buyers
- 73% of respondents said obtaining more private outdoor space was vital, which represents a significant rise
- 62% of respondents said moving away from built-up areas and being closer to nature was important
- Finance was an important factor too, with many people looking to move to better manage their mortgage payments:
- 51% of respondents cited reducing their mortgage payments as being a driving factor in switching
- This represents a big increase over the 37% of respondents who cited this in December 2020
- 59% of respondents said raising a deposit was likely to be the biggest barrier to them stepping on the property ladder
- A lack of job security was cited by 48% of respondents, which is high, but less than the 68% cited by respondents in September 2020
Are you looking to move?
Paul Broadhead, Head of Mortgage and Housing Policy at the BSA, said: “These latest results are an encouraging sign that the impacts of the Covid-19 pandemic are starting to fade for many, as confidence in the housing market remains strong. There’s no doubt that the government support measures introduced over the last 12 months, such as the Stamp Duty holiday, have been key drivers of the confidence we see. It does however appear that the market will remain buoyant as these incentives come to an end.”
Paul continued by saying; “Whilst the Nationwide Building Society House Price Index reports house price growth of over 11% in the last 12 months, and our research shows 50% of the public think further price rises are likely in the coming 12 months, it’s not surprising that raising a deposit has returned as the biggest challenge for those wanting to get on the property ladder. It’s therefore good to see that in addition to a number of societies supporting the government’s First Homes initiative, many have also re-introduced low deposit mortgages as part of their standard mortgage range.”
Paul Broadhead concluded by saying; “Amongst all the positive signs in the housing market, it’s important to note that almost half of the respondents have concerns about their job security. Whilst this is a declining trend, it remains clear that there are many people for whom the pandemic continues to have a negative financial impact and it’s important both for lenders and government to ensure that appropriate safety nets are available to give households the support they need when they need it”.
If you are looking to make a move in the Bromley property market, and you would like to speak with local experts, please get in touch. If you would like to arrange a property valuation, contact us and we will set this up for you. You can phone your BR Estate Agent on 020 3633 8620 from 9am till 9pm seven days a week or visit our website www.br-estateagent.co.uk for more information.