There Is No Notable London Housing Exodus
28th September 2020 posted in Property News Sellers Buyers
When the housing market re-opened in May, a lot of analysis took place in determining what was going on in the market. Buyers priorities had changed, and this was reflected in the home moves people were looking to make.
A lot was made of people looking for larger homes, of the need for outdoor space, and of the greater freedom that will come with remote working. It is likely many professionals will have greater freedom in where they work, and this might lead to an increase in demand for rural homes.
Remote working might not come as quickly as some expect
It is important to note this is a very fluid situation, and priorities change all the time. At the end of August and start of September, the Government placed significant importance on people returning to their traditional place of work. Many people feel this is driven by the need to support High Street outlets as opposed to being what is best for people and businesses right now, but it shows how quickly perceptions change.
There is also a need to analyse the information which led many industry observers to state there was a mass exodus from London about to take place.
Information provided by Rightmove was the catalyst for reports people wanted out of London. There is no denying the Rightmove figures suggested homeowners and tenants in London were looking at property outside of the capital.
However, not everyone looking at property intends to buy property, or even that style of property. During lockdown, it is natural homeowners and prospective buyers dreamed of more space and an outdoor setting which allow them to make more of their free time. In this situation, it is no surprise many people were spending time searching for homes outside of the capital.
Rightmove have acknowledged this more recently. Miles Shipside from the company said; “It’s not unusual for there to be a large proportion of would-be buyers considering a move out of a city if they’re looking for a more affordable place to buy for the first time, or to trade up but get more for their money, but there’s been a notable shift during lockdown of more contemplating out-of-city moves.”
Miles continued by saying; “It remains to be seen how people’s commutes may change when lockdown is over. Some people may already be thinking of moving further out from their current place of work if they can perhaps work from home a few days a week, which opens up a number of new areas they had never considered before.”
Stamp duty holiday will encourage some families to remain in London
Another reason people won’t quit London, even if they are looking for property, is the impact of stamp duty. Research suggests buyers looking for homes in the £400,000 to £500,000 price range are likely to experience the most benefit in saving money on stamp duty.
With the chance to save £15,000 in stamp duty fees thanks to the holiday, property in areas like Camberwell are hugely appealing.
If you are looking for guidance or information regarding the housing market, please get in touch with Hunters Camberwell. As a local estate agent who has the support of a national network, we are ideally placed to provide you with all the help and guidance you need to make an informed decision, so please contact us today.