buyer demand

Buyer Demand Could Result in Property Dry Up

With current high buyer demand in the housing sector from buyers reaching all-time highs over the last few weeks, there is concern that supply of homes could potentially struggle to meet the demands with prices also soaring as a result.

In newly released figures showing a 25% of people focused on buying a new house in the immediate future, a further 28% are saying they are considering purchasing a property whilst just 4% are looking to sell this year. On top of these figures, a further 12% are considering selling up.

This also leaves an approximate of 6 in 10 owner-occupiers with no plans to sell up in 2020.

Whilst this mismatch in supply and demand is alarming, the biggest areas for concern are focused in London and the South East, with 69% planning to purchase property in the capital against 12% of homeowners considering selling and a further 4% definitely selling up.

The outlook for the rest of the UK continues the trend.

Wales weighs in at 50% of people planning to buy in 2020 with just 11% of homeowners planning on selling. Scotland brings in slightly better with 49% buying weighing against a 17% selling.

It is the South West that felt the benefit of the smallest gap in the market where 52% are planning on buying properties against the selling group of 23%. Still a significant difference.

The unprecedented buyer demand from 1st-time buyers to landlords are no doubt generated from post-lockdown desires to move homes and buy property in Stockport. With the economy suffering from Covid-19, the activities in the housing market demand are a sign that the sector is resilient and buoyant into 2021.

However, those reluctant to sell against the increased number of those intent to buy could dry up the stock in UK housing resulting in many first time buyers struggling to establish a home.

With supply challenging the housing market and the government intent to deliver thousands of more new homes, demand will take a huge priority from hopeful homeowners and landlords looking to secure their step on the property ladder this year.

For buying a property advice and guidance on how to sell a house, contact Joules today.