Selling your house may feel like an overwhelming prospect amid a sea of economic chaos caused by the coronavirus pandemic. But you may be better off acting sooner rather than later to have a quick sale. Pent-up demand for moves after many lockdowns and restrictions and a Stamp Duty Holiday have fuelled the property market over the past few months!
One of the most common questions we are being asked is, should I wait and sell my house next year?
We are saying 'No' and we are saying 'YES' to selling now due to the pent-up demand caused by many factors. These include the Stamp Duty Holiday, an increased number of available mortgage products, including ones for first-time buyers, alongside demand from buyers who are looking to move/upgrade their home seeking more space after the pandemic!
Around 130,000 property sales were agreed over the last month, a 44% increase during the same period in 2019, according to Rightmove's House Price Index Report for December. The report also notes that around 650,000 sales were agreed and in the pipeline.
The Stamp Duty Holiday extension has meant that buyers have until the end of July 31st to save Stamp Duty on property purchases up to £500,000, with a tapered period from August 1st until October 31st where buyers won't pay Stamp Duty on property purchases up to £250,000. From November 1st, standard Stamp duty rates will apply. The 3% surcharge for an additional home to your primary residence still applies. However, buyers are in a position to save up to £15,000 in tax!
The introduction of the 95% mortgage, which the government backs up, and with the introduction of additional products for first-time buyers, has meant that this market segment is also starting to search for properties, who before this pandemic dominated the property market in sales for the last seven years!t
However, since the lockdown existing homeowners have been looking to move into a new home, to accommodate for additional living spaces for their family after experiencing a shortage of space during the lockdown.
Although no one expects a pandemic like this to happen again, existing homeowners are still looking for a larger property in light of having independent spaces as more people are looking to work from home.
House prices are continuing to show strong signs with a year-on-year increase of 4.7%, and according to the Land Registry and the average UK house price standing at £244,513.
If you are looking to sell your property, speak with one of our property experts today by calling us on 0116 275 8888!
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