According to the latest research from Zoopla, the value of homes sold nearly doubled in the first quarter of this year compared to the same period last year. One in 50 properties was sold between Jan 1st to Jan 15thcompared to one in every 100 homes in the same period in 2020.
The value of property transactions was £149bn, this would usually be achieved by around the end of June.
The search for more space in our homes has been the driving force behind the high number of property sales we have seen. The pandemic resulted everything locking down – offices, schools, gyms, entertainment venues, local attractions…and as a result, homeowners required more space to home school, work from home and spend time relaxing.
Going forward, many people will continue to work from home either full or part time and many families feel the need to address the issue of space in their home. What’s more, we have seen pent-up-demand from people who planned to move last year but were unable to for various reason – lack of mortgage products, issues with employment etc. and many families who continued to work saved money by not going out, going on holiday and living their normal lives.
At present there is high demand for three and four bedroom family homes but the lack of supply has driven up prices and competition for each home is extremely high with families missing out on several homes.
The stamp duty (LBTT) holiday which ended on March 31st in Scotland and will end in June for the rest of the UK caused unprecedented activity in the housing market. Over Easter, the property market was operating at double the level seen in the same period in 2017 and 2019. At present, it is 27% higher than last year. Since lockdown eased there was a slight slowdown in interest from potential buyers as homeowners focused on catching up with friends and family.
Glasgow, Bristol, Nottingham, Stoke-on-Trent and Middlesbrough are the five busiest housing markets at present.
Annual house price growth in March was 4% which is down from 4.5% in January. In Glasgow it is 3.2%. This remains nearly double the rate recorded for the same month last year.
Supply has been a real issue for those looking to buy – during the first half of April the number of properites for sale was 30% below the levels recorded in 2019. The number of homes listed for sale this year is 19% lower than average levels recorded in 2020, despite the closure of the housing market. The last lockdown resulted in an increase in the time between homeowners looking for a new property and listing their current home for sale, which exacerbated the imbalance between supply and demand.
Contact us if you would like to take advantage of the current high demand in East Renfrewshire.