Property buyers are still intending to move house in 2020 despite the pandemic, with a significant number hoping to have completed the purchase of a new home by the end of summer.
After periods of sustained growth at the end of 2019 and the start of 2020, it is safe to say the property market has witnessed one of the most testing times in its history due to the national impact of the coronavirus. As the virus took hold and controlled society, the property market was placed in a state of ‘hold’, as physical viewings ceased and financial uncertainty grew. After two months of stagnation, it is now reopened for business, albeit operating with social distancing in effect.
Property market post lockdown
As we are approaching six weeks of market activity after reopening, we can finally make an accurate opinion of how the market has performed and what the future holds.
The sudden kickstart of the property market was welcomed with grave uncertainty as homeowners, and industry experts were shocked at the immediate re-start of the market. Estate agents, property investors and the general public expected a phased re-start, allowing the market to catch up on paused transactions and property investment. However, businesses were forced to jump back into action from a standing start with no time to prepare and impose the new practices that were outlined by the government.
Despite a shaky start, estate agents up and down the country have been inundated with enquiries, as the pent-up demand from the eight weeks of market inactivity has come to the surface.
As the market becomes increasingly more saturated with buyers competing for a select number of properties, more and more homeowners are placing their property on the market as estate agents are providing a service that guarantees to sell your home fast. As the number of buyers and homeowners deciding to enter the market increases, experts will be eagerly waiting to find out how this will aid future market growth.
Trying to achieve a fast house sale is an attractive prospect at the best of times, here are our top tips to speed up the sale of your home.
Stamp Duty Holiday
The Chancellor, Rishi Sunak has taken an axe to stamp duty for almost 90% of homebuyers in the UK. Raising the threshold to which stamp duty kicks in to £500,000, helping those who are looking to move home in 2020 to save up to £15,000.
The stamp duty holiday, which is set to continue until 31st March 2021, has been brought in as part of the government’s attempt to boost the economy in its recovery from the effects of the coronavirus. The decision to implement this holiday on a widely disliked tax dramatically benefits those who are looking to buy a property in the second half of 2020. So how much can you expect to save?
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The greatest benefits come to households buying a property at £500,000 or above, the threshold of home buyers who have previously faced the highest tax bill. It will be intriguing to see how buyers will respond to this relaxation in stamp duty and whether this will promote the increased market activity the government is hoping for in its attempt to recover from the economic stagnation caused by the virus.
The price you market your home is often the most prevalent factor in filtering out potential buyers.
Before the pandemic took effect in the UK, homeowners witnessed a sustained period of positive growth in property prices after three years of relative sluggishness in prices.
The increase in house prices up and down the country reignited confidence of homeowners after market volatility riddled them with uncertainly for the future value of their home. The subsequent increase in market confidence and the value of their home created a market place that was favourable for those looking to sell.
However, this sense of confidence was quickly withdrawn as the virus took hold and market activity slowed down. In the socially distanced defined marketplace, we find today, the price of your home couldn’t be more important.
As short-term property growth is not expected to occur even with the current boom in demand, homeowners in the UK will, unfortunately, receive substantially lower offers than their original valuation. With the emphasis being placed on the buyers in this post ‘lockdown’ market environment, homeowners may receive offers of around 80% of their original valuation.
Although this is not the most welcoming piece of news, the flexibility in price homeowners are willing to accept can dramatically increase the odds of selling your home.
While this can aid the sale of your home, it is essential homeowners are not exploited by buyers trying to catch a quick deal.
Choosing an estate agent
Who you choose to sell your home with can be a defining factor in attracting the correct buyer for your home.
Although your property is the main attraction for potential buyers, choosing the wrong estate agent to sell your property can determine how successful you are on the property market.
As the growing debate between online and high street estate agents continues to rumble on, where you are going to sell your property is one of the most important factors for homeowners to consider. While the services provided by high-street and online estate agents are often suited to different groups of people, the difference in the services offered is an essential distinction for homeowners to understand.
How you market your home
Before the coronavirus, homeowners were able to play on the sensory and physical attributes of their home as they provide personalised viewings to potential buyers. In today’s socially distanced defined market place, homeowners are at the mercy of the estate agent’s camera skills.
Until social distanced measures can be relaxed, the majority of house viewings will have to take place virtually, via video or a live visual call. As buyers now can view a number of homes on the same day from the comfort of their sofa, how homeowners and estate agents market a home increases in importance.
For those wondering on how to market their home successfully, here are some tips you can utilise:
- Take photos or undertake the ‘virtual’ tour of your home in the best light.
- Provide the buyer with the opportunity to visualise themselves in your home.
- Use a tripod and avoid wide-angle lenses.
- Highlight the unique and special features of your home.
- Be consistent with the format of your photos.