PROPERTY sales in England’s housing market are almost back to normal following the reopening of estate agents last month. New figures from RightMove reveal record levels of interest as well as higher asking prices compared to pre-lockdown.
Homeowners were fretting about a property market crash due to the coronavirus pandemic, but new figures suggest that it is already bouncing back. Though there was a 94 percent drop in sales while estate agents and viewings were put on hold, the housing market has made an impressive recovery in just over one month. The market reopened on May 13 and has already sparked thousands of sales to go through as the nation gets back on the move, with buyers even paying close to the asking price according to RightMove.
Sharing the latest data, RightMove revealed that 40,000 new sales have already been agreed since the market resumed last month.
The news is a promising update for those looking to sell their home in England, but restrictions still remain in place for Wales and Scotland.
The Northern Ireland housing market reopened this week, so time will tell whether it sees the same recovery.
As well as seeing a spike in demand and sales, the company has noted that agreed house prices are largely working in the seller’s favour, which wil come as good news for those hoping to put their home on the market.
The average asking price of properties being listed for sale is up by an average of 1.9 percent compared to March, pre-lockdown.
But while some experts predicted a huge crash in house prices, it seems buyers are snapping up their new home without expecting to negotiate a better deal.
On average, buyers are agreeing to pay 97.7 percent of asking prices – putting anyone looking to sell in a strong position.
The figure is an improvement on February sales, where on average buyers were paying 96.6 percent of an asking price, negotiating a slightly lower price.
In fact, property expert Miles Shipside believed that buyers hoping to go in at a lower price might find themselves being rejected thanks to the current state of the market.
“Following the initial shock of the early reopening of the housing market, England is getting moving again with a boom in traffic on Rightmove,” said Shipside.
“There are no signs of panic selling or even a price dip. Some sellers who had agreed a sale before lockdown have been worrying that their buyer may try to re-negotiate with a reduced offer.
“On this evidence buyers may now be trying to exchange quickly, as there are signs of high pent-up demand and upwards price pressure, rather than downwards.
The company is also seeing a record number of owners looking for valuations on their property, with more new listings being added daily compared to the same time last year.
The impressive number of agreed sales in just over one month also means that the daily rate of houses sold is down by just three percent year on year – a remarkable comeback after so many weeks of being closed off.
The website has been busy with those looking to move, with RightMove recording ten of its busiest ever days in May and June – with property seekers spending over 955,000 hours on the service collectively on June 6.
Estate agents are also more in demand than ever, with the number of people phoning and emailing rising 40 percent compared to pre-lockdown.
Source: The Express