According to property website Rightmove, July marked the UK property market’s busiest month in more than 10 years, generating £37 billion worth of agreed property sales as both buyers and sellers were more active than in previous years.
The site credits the boom to pent-up demand accumulated during the coronavirus lockdown which temporarily stalled the market. Since reopening in mid-may, and the introduction of the stamp duty holiday in July, the number of monthly sales agreed in Britain has gone up by 38% from the same time last year. That’s the highest jump recorded since the company began tracking the data over 10 years ago.
According to the report, asking prices have fallen by an average of 0.2% across mainland Britain, driven by a 2% drop in London, which has seen the number of homes added to market rise by 69% since last year.
The number of sales agreed for large homes saw a 59% annual increase, while there was a 29% increase for first-time properties, and homes with three or four bedrooms (excluding four-bed detached properties) saw a 38% increase.
Why did July see such an uptick?
There are a few factors at play for the surge in agreed deals in what would normally mark a summer lull for the UK property market.
As mentioned above, there has been a release of pent-up interest after the coronavirus lockdown, and while travelling abroad hasn’t been an option for Brits, many have taken the opportunity to commit to buying and selling at home, potentially reflecting a shift in priorities in terms of buyers’ attitudes to moving.
Interestingly, the Rightmove report also suggests the pandemic might have enticed buyers to make lifestyle changes and move out to countryside locations like Devon and Cornwall, which saw record-high sales in July.
The aforementioned stamp duty holiday plays a big part in the buoyant market too, with the UK’s largest estate agency firm, Countrywide, reporting that demand for homes costing between £500,000 and £750,000 has increased significantly since the tax break was announced.
This uptick mirrors our experience at Tailor My Property, where we’ve received a surge of queries from clients seeking to capitalise on the latest market developments.
While it’s understandable that prospective buyers might think a pandemic year isn’t the right time to make the financial commitment, we’ve seen increased activity in most price ranges, with prices not rising significantly and the increase in listings helping to balance the market.
This coupled with the fact that July also saw the highest number of properties coming to market in a month since March 2008 might make now the perfect time to commit to your long-term property plans.
If financing is your next concern, Tailor My Property’s experienced network of international and UK mortgage consultants and brokers can assist you with step-by-step mortgage assistance as they guide you through the best-suited and specifically tailored financial solutions for you.
Get in touch today to find out more.