With confirmation of the Stamp Duty (SDLT) holiday extension and a ‘government guarantee’ on mortgages, John D Wood & Co. expect the buoyant property market to continue on an upward trajectory with transaction volumes increasing.
Commenting on the 2021 Spring Budget announcement, Polly Ogden Duffy, Managing Director at John D Wood & Co. “The stamp duty holiday extension and the Government’s backing of guaranteed mortgages will give first time buyers and the mid-market a well-deserved boost, and is very much welcomed. It also remains a great time for investors to capitalise on the upfront saving of initial costs. Of course speed is of the essence to benefit from the stamp duty extension.”
The appetite to move home has steadily increased over the last year despite the pandemic. While life outside the home has been uncertain, a focus for many has been centred around ensuring life at home is as enjoyable as possible, along with the space to do so, surging the demand for family houses.
“There is also a noticeable trend for us in property listings and sales transactions that never reach the open market.” says Polly, “In fact 27% of our properties are currently listed offline – with a 6% increase since January. To put this in context we are currently marketing £775 million worth of offline property (predominantly family houses with an average price of £2.5M), which indicates that the market is strong, demand is high, and good quality property is being snapped up fast by serious buyers who are eagerly waiting in the wings.
With national lockdown restrictions still in place, more clients are choosing to list their home for sale, but allowing only limited buyers through the door. With a shortage of quality family homes on the market, buyers are now less likely to negotiate the price and sales are being agreed quietly and quickly.”
Looking ahead to spring, summer and beyond, it is expected that, with the trend of moving out to the country for more space and a better quality of life, market demand will continue.
That said, London is addictive and unique and still home to many of the big corporates. The city will thrive again and in 12 months’ time, the population living in London is likely to be very different to that pre-pandemic, with ‘current’ Londoners relocating and enjoying working remotely, the younger generation has a great opportunity to make the most of good value rents in the capital.