Hope springs eternal as the UK property market goes from strength to strength

March 12, 2021

Spring is a season traditionally associated with hope and this certainly seems to be the case so far in 2021 – at least so far as the UK property market is concerned.  

Chancellor Rishi Sunak got the ball rolling with his spring Budget on 3 March. He extended the stamp duty holiday by three months. The move provided plenty of hope for the 100,000 or so buyers who had been likely to miss the original 31 March deadline. Mostly, this was through no fault of their own but simply due to the processing pressures created by the sheer number of transactions taking place. 

Next, the Chancellor gave first-time buyers fresh hope of picking up their first property, by announcing a government-backed scheme whereby first-time (and second-time) buyers could obtain a 95% mortgage. Such products had all but vanished from the market as a result of the pandemic, effectively ruling the majority of would-be first-time buyers from the market. 

Spring also brings with it the promise of summer soon to follow. And this year in particular, people will be keen to embrace all that summer has to offer. The HomeOwners Alliance reveals that more people move in August (12.2%) than in any other month. That’s followed by July, when 10.8% of people move. In terms of property market movements, summer brings its own momentum. 

All of this hope is reflected in Savills’ March 2021 residential market forecasts. The company’s previous forecasts suggested growth of 0% for UK property prices in 2021. That’s now been revised to projected growth of 4.0% for the year. 

The revised forecasts follow house price growth of 7.3% in 2020, despite the UK economy contracting by -10%. The stamp duty holiday was a key driver behind that growth, yet behavioural change has been deemed just as influential, with buyers seeking larger properties in which to work, study and isolate from the wider world. The result was a record £120.5bn spent on property during Q4 2020. 

Savills’ projections for the five years to 2025 are also resoundingly positive. The UK should see average house price growth of 21.1%. That growth will be led by the North West, where prices are projected to shoot up by 28.8% by 2025.

“For investors, the potential offered by the UK property market is huge. Developments such as Bishopgate Gardens in Preston are at the epicentre of this regional growth. They not only offer a solid monthly income but the chance to enjoy capital growth of nearly 30% over the coming five years. It’s a really exciting time to be involved in the market.”

Dale Anderson, Managing Director, Fabrik Invest

For further details, call Fabrik Invest on 020 8175 9891, email enquiries@fabrikinvest.com or visit www.fabrikinvest.com.

Share This Post:

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn

Wayne Venter

International Business Development Manager

Wayne has been in the property industry for over 17 years. He started out selling residential properties in the northern suburbs of Sandton, South Africa, for one of the bigger real estate brands, before moving to a boutique, Johannesburg-based property developer. He worked at a senior level, specialising in residential developments on the north coast of KZN and various other areas of Northern Johannesburg.

Wayne moved to selling luxury, free standing homes and apartments in Sandton, Johannesburg in 2006, having joined the Country’s leading real estate brand and within six months was leading the team. In 2008, he began to focus exclusively on the luxury apartments in central Sandton, priced from approximately R2 million to R60 million. Over the years, he has also added commercial property sales and rentals to his repertoire, as well as building his own investment property portfolio between 2011 and 2018.

By 2018, realising where the South African property market was headed, he sold out of his investment property portfolio to de-risk and went looking for a real estate company to buy into. South Africa’s property market was extremely volatile at that time, so Wayne took the initiative and moved to London to work in property in the UK.

Join our newsletter

Get all the latest news from Fabrik Invest.

Edward Snell

Senior Property Consultant

I live in Spanish countryside with my wife and our 11 rescue dogs.

Originally from Bedford, I have two sons, two step children & 6 grandchildren.

I have a keen interest in property investment and over the years have built up a personal portfolio for the purposes of rental income and capital growth.

I have over 20 years’ experience in property investment, both in the UK & overseas.

My other interests include animal welfare, football, motorsports, travel and music

My personality is of an even temperament and I enjoy the cut and thrust of doing deals.
I am happy and successful in what I do & take great pleasure in providing my clients with successful outcomes.

I’m a good team player but work well as an individual.

Daniel Harburn

Property Sales Consultant

Daniel had a passion for property from a young age so he began his working life by undertaking a plumbing apprenticeship for a large well known UK developer to pursue a career in construction. After qualifying he soon realised that building relationships was a preferred skill of his due to his loyal and trusting nature.

From then on Daniel launched his career in sales where he worked his way to to a high performing sales person at a creative media company. Part of Daniels success in accumulating clients over the last 10 years is put down to his diligence in customer experience.

Daniel has a keen interest in golf and also in keeping himself fit which is essential as he and his fiancé have 4 year old twins, Jacob and Sofia who keep them both on their toes.

Contact Us

Property Investment Guide

Download Our Free UK Property Guide

Thank you!

We will be in touch.