How Covid-19 will affect the property market in the UK: Get an expert advice

There’s little doubt that the recent pandemic and ensuing lockdown period is going to have long lasting effects on the economy of the UK. But has the impact of the coronavirus on the property market in the UK really been that bad?

Yes, plenty of people have been furloughed, jobs will certainly be lost and there will be an element of uncertainty around until a definitive cure or way out of the pandemic is discovered. But there is some good news. It’s not all doom and gloom. In fact, the latest figures show that the UK property market has already bounced back to pre-Covid levels – and we’re not even totally out of the woods.

As reported in The Guardian this week, according to Zoopla, pent up demand is firming up asking prices, with the average asking prices being up 6% from the same week in June from last year. Prices in London have not caught up at the same level as in other parts of the country, but this merely reflects a trend that was happening before all the virus news hit our shores.

According to Zoopla research director, Richard Donnell: ‘Lower asking prices for homes sold over the lockdown period may drag down indices over May, but this new data suggests house price growth is set to remain positive in the next two months.’

All of which spells great news for investors. And it stands in contrast to the doom and gloom that was being predicted just a few weeks back. It seems like property – bricks and mortar – is a much more solid investment than many people realised. In times of trouble, it pays to put your money in property.

Understanding the Impact of Covid-19 on the property market in the UK

One of the key reasons suggested for why the market has responded so quickly is because this recent period has been an eyeopener for many people. It doesn’t pay to hang around in this life, and if you want to make a move then now is as good a time as any. People have become tired of being locked up – even if they understand well the reasons for doing so.

So, it’s perhaps not surprising that as soon as they were able, property purchases were first on the agenda. It is especially true for property with gardens, which have become increasingly in demand. People have really realised the benefits of outside space.

In this sense, the impact of the coronavirus on the property market might take more surprising forms than we first thought. Certain kinds of homes might become more in demand; the market might swing towards homes with gardens and outside space and away from flats.There may be a move away from towns and cities. This has already been reported by Rightmove, which has noticed increased interest in rural properties and less interest in cities, reversing a trend that has been happening for decades.

The wider impact on society, in terms of how we work, communicate and travel, will also have long-lasting effects on the housing market. If more people can work remotely, then traditional centres of employment such as cities, will be less in demand.It’s hard to say exactly how the impact of the coronavirus on the property market will be felt, and it may even take years to understand the full consequences of it.

What this means for investors

Understandably people have been very cautious about making investments during the last few months. Nobody was sure how the housing market would react to the crisis. But as the green shoots of recovery begin to sprout, it is clear that now might be a great time to invest.

People who are keen to sell are more likely to take offers seriously, aware that fluctuations in the market or a second wave could disrupt their plans. Agents are keen to push sales through to get things moving again. All of which means if you an investor and ready to move then you hold all the cards. You may well be able to pick up property at good prices, and the resurgent market over the coming months may mean good short- and long-term prospects.

Of course, all of this comes with a caveat. Think back to the world of six months ago. Did you see any of this coming? Could you have imagined a world where we would all have to stay in doors for months on end? Where the economy would virtually grind to a halt? And yet it did. There will be consequences of this. Many people will feel the hardship over the coming months and years and as we mentioned above, there is no definitive end in sight.

Looking at these facts, no investment can be guaranteed to be successful. The virus might yet have more up its sleeve and we could find ourselves in lockdown again. But the property market has already shown itself to be resilient and this fills people with confidence. Plus, not knowing what the future might hold is one very good reason why you should act now. Houses are being bought and sold again, profits are there to be made – so why not act now?

Here at Property Classifieds, we have hundreds of investment opportunities ready and waiting to go. Motivated sellers have listed their homes with us, keen to sell to equally flexible investors. Simply sign up and browse our list of exclusive property to see what is available. Most of our listings move quickly, within days, so you need to act quickly if you want to take advantage of the best deals. It’s a great way to invest, without the need of estate agents and lengthy negotiation periods. And when time is of the essence as it is right now, this could be exactly what you are looking for.

Don’t let the impact of Covid-19 on the property market put you off - see what your investment opportunities are like with Property Classifieds.

Originally published https://www.propertyclassifieds.co.uk/blog/how-covid-19-will-affect-the-property-market-in-the-uk-get-an-expert-advice