How’s the housing market? Pretty good, it seems …

Interestingly, a few people have suggested recently that housing will be at a premium in Bude and surrounding rural/coastal areas as a result of coronavirus. I understand local estate agents are busier than ever. Housing was entering the doldrums earlier in the year with Brexit discussions dragging on. Then Coronavirus hit and many people expected further problems in the market. However, that has not happened.

Right Move today stated that housing confidence is high. They say:

  • There are over 175,000 missing sellers that couldn’t come to market from 24th March to 12th May, but we’re now seeing a record number of owners asking for valuations and the number of daily new listings being added to Rightmove are now up on last year.
  • The number of sales agreed has recovered from a 94% drop to latest daily rate of just 3% down on a year ago:
    • 40,000 new sales agreed since market re-opened on 13th May
    • Buyers are agreeing to pay 97.7% of the asking price on average, an improvement from 96.6% for sales completed in February
    • The number of people phoning and emailing estate agents hits a new daily record, 40% above the level seen in early March
  • We recorded our 10 busiest ever days in May and June, with home-movers spending over 955,000 hours collectively on 6th June

Whilst it’s still early days, our statistics covering 95% of the market indicate far more resilience than had been expected.

They also suggest that sellers are not really up for negotiation on price while the market is relatively buoyant.

The price of property coming to market in England is up by an average of 1.9% (+£6,266) to £337,884 this month compared to March, before the housing market was put on hold.

Hopefully, local authority searches and legal services will be able to keep up with demand.

With prices as they are, the downside is that many people will continue to struggle to get a foot onto the property ladder at all.

 

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