June 2020 Market Comment
By lucmin on 10th June 2020
It might be tempting to believe that the pandemic has been destructive and all-consuming on all fronts, especially in relation to the property market, which virtually ground to a halt a few weeks ago.
But we British are a resilient lot! Our compliant “keep calm and carry on” mentality has meant that we have/continue to do our bit to protect our community, without losing our focus on those other things in life that are important to us. Our home comes close to the top of the list, along with family, relationships, job, pets, well-being and general prosperity.
While some businesses, for example a coffee shop or an airline, will eventually start to trade again from where they left off, the property market is one type of business where the latent demand has accumulated during lockdown like a catapult being stretched. It is now at the point of being released and we are expecting intense activity over the summer.
In fact, recent research revealed that some 15% of home movers have been prompted to do so as a result of a change of plan due to the pandemic. During lockdown some people found that working from home suits them quite well, but they would prefer not to use their broom cupboard as an office. And if they are no longer expecting to commute to work, why are they paying a premium to live in a property near the station, especially if the broadband quality could be better elsewhere? Perhaps time spent during May’s warm and sunny weather has sparked an interest in gardening too?
Unlike other scenarios that might adversely affect the property market, we have a good balance of supply and demand, interest rates are incredibly low and banks are keen to lend. So although sales might be down perhaps 25% this year, the consensus is that the rebound is likely to be strong.
The dynamics of the market may be changing, but we as estate agents a ready for the challenge. Whilst we are of course highly respectful of the guidelines for safe property viewings, our focus remains on offering sincere, straight-talking and sound property-related advice to our customers. The pandemic might have changed society, but, as we emerge from our confinement, our vision remains the same – we help people move, whatever the circumstances.
If you feel moved to move, why not call us on 01242 257333 or 01452 597994 for an initial chat? You might be pleasantly surprised.