House prices are slowly on the rise following lockdown losses, to hit a new record high. As more of us are finding working from home is the way to go, space is very much on the agenda.
The Nationwide building society said; last month brought the highest monthly price rise for 16 years, defying the economic crisis caused by the coronavirus pandemic as the average price of a property rose by 2%.
The society believes a complete shift in our behaviour is one of the responsible factors, as buyers reassess their housing needs due to remote working.
Over the past year prices have risen by 3.7% despite the country suffering the worst recession since records began. On top of the pandemic, and the financial impact that has for all of us, there is the ongoing debate as to how we will walk away from the EU.
Speaking about the new report, Nationwide’s chief economist Robert Gardner said:
“The bounce-back in prices reflects the unexpectedly rapid recovery in housing market activity since the easing of lockdown restrictions.
This rebound reflects a number of factors. Pent-up demand is coming through, where decisions taken to move before lockdown are progressing.”
“Behavioural shifts may also be boosting activity, as people reassess their housing needs and preferences as a result of life in lockdown.”
So what is stopping this major fall in house prices?
Demand is the main factor, as more of us require larger, or more suitable accommodation. Then there’s the stamp duty holiday affecting properties up to half a million pounds.
As a home office becomes high on our list of needs, it appears buyers are grabbing the current low cost of borrowing, and other savings via stamp duty, to aim for that extra bedroom or more living space.
Here in South Wales, as lockdown restrictions ease, building work is progressing well at a housing development in Newport, with the first images of the new homes now available.
BELLWAY is building a mix of two, three and four-bedroom homes at Heron’s Mead, off Queensway in Llanwern.
Carly Maidment is Sales Manager at Bellway Wales, she told us…..
“We have worked really hard to design a brilliant variety of new homes in Newport, so we wanted to give people the chance to see what the homes will look like once they’re built by making these CGIs available to view online.
“Heron’s Mead is a lovely site, with a wide variety of homes for buyers at all stages of the property ladder, from first-time buyers to families and downsizers. As well as this, the development is located around four miles from central Newport, making it the perfect place for commuters.
“Following the easing of lockdown restrictions, potential buyers now have the chance to book an appointment with our sales team. I’d encourage anyone interested in the homes here to do so to avoid missing out.”
Bellway recently retained its five-star builder status with the Home Builders Federation (HBF) after more than nine in 10 customers who responded to the HBF’s National New Homes Customer Satisfaction Survey said they would recommend the housebuilder to a friend.
There is currently a range of four-bedroom homes available to buy at Heron’s Mead, with prices starting from £314,995. For more details, take a look here. BELLWAY
Experts believe the Building Society data shows that more buyers and sellers were brushing off concerns about rising unemployment and the winding down of furlough. The UK recovery will also receive another boost by schools and more businesses reopening.