As things start to look up again, properties have been selling at the fastest pace ever recorded. According to statistics on Rightmove, more houses were sold during one week in April than ever before, and this activity shows no signs of slowing down.
But with everything on the up, what does this mean for our buyers and sellers? Here are some insights into the current state of the property market, and what this could mean for you.
Covid-19 had a massive impact on the property market last year, with everything coming to a standstill. While that means we can’t compare with figures from last year, we can compare against 2019, and those figures show that properties coming onto the market are up by 3%.
However, buyer demand was also up 52% in April 2021 compared to April 2019, creating an imbalance in demand and supply. From lockdown restrictions easing up and a successful rollout of the Covid vaccine, to a rise in 95% mortgages and the extended Stamp Duty Holiday, there are multiple reasons behind this continued surge in buyer activity.
But what could be the main driving force behind all this activity is that the recent pandemic has completely changed how some of us live our lives. Green, outdoor space is now more important than ever, and working from home has become commonplace.
This means that many have found they need something different from their homes. Whether that means garden space and nearby parks, or room for a home office, people are on the lookout for a property that suits their changing needs. This makes two-and three-bedroom properties among some of the most popular right now, although all properties are being snapped up quickly.
Now is the perfect time to start looking and make the most of the Stamp Duty Holiday. Apart from the property itself, Stamp Duty comes in as one of the most expensive costs in buying a house. If you can get your purchase completed before the holiday ends, then you could be saving up to an average of £4,500.
This makes the cost of moving much more affordable, and could even help you look at properties that would have otherwise been outside your price bracket.
However, with only a 3% increase in the number of properties coming onto the market, demand far outstrips supply. This has, in turn, caused property prices to soar, hitting an all-time high in April. This competition has not deterred potential buyers, and instead of prices becoming steady, they continued to jump by another 1.8% in May.
Buyers are entering fierce competition, and paired with savings from the Stamp Duty Holiday and 95% mortgages, they are able to go above asking price. This then further drives up the cost of other properties within the area, and from April to May, the national average asking price rose by £5,767.
With the continued increase in prices and constant demand, this has officially become the fastest-selling market since records first began on Rightmove.
This surge in buyer activity means now is a great time to sell, and could get you an attractive offer for your property. Offers are also coming in quickly, with buyers eager to get in quick and take advantage of the Stamp Duty Holiday extension.
For buyers, supply might be short at the moment, but all this activity means we can expect more sellers to join the market over the next few months. But competition is fierce, so you’ll need to be in the best position possible.
If you already have a property you need to sell, then make sure you have accepted an offer before placing offers of your own. It will also help to have your mortgage in principle ready. This will show sellers that you’re serious and ready to complete your purchase, making your offer all the more attractive.
Whether you’re looking to buy or sell, our team are ready to help guide you through Telford’s property market. Drawing on our expert knowledge of the local area, we have built up a reputation for matching the right people with the right properties. Get in touch today and start making your next move.
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