As the UK attempts to recover from the pandemic that took over the world, there is only one question on everyone’s mind, be it real estate agents in Cheltenham or real estate investors in Manchester; what is the future of the real estate market in 2021? During the first lockdown in March 2020, the government shut down all real estate transactions. Buyers and sellers in the middle of a property deal had to temporarily suspend the deal, real estate agents had to shut down their businesses and the real estate industry came to a standstill. During the second and third lockdown, the real estate industry started to recover but there were many changes such as virtual viewings, a change in buy to let mortgages, a change in buyer demand and most importantly, the change in the average price of real estate in the UK. So, what emerging trends will we see in the real estate market in the UK in 2021?
Demand for property on the outskirts
As more and more people started working from home, the demand for bigger and better homes started to increase. As more people spent time in their homes, as opposed to spending most of their day in the office, homeowners wished to move to more spacious houses with open spaces. Due to this, the demand for property on the outskirts saw a steep increase. Since properties in suburbs and the boroughs of the UK are relatively cheaper than the city centre, with open spaces such as lush green gardens and spacious terraces, homeowners decided to shift base from the city centre to the outskirts. As people continue to work from home, it is expected that the demand for such properties will continue to rise.
Increase in let to let properties
Homeowners who wished to move to the outskirts did not want to give up their homes in the city centre. So, instead of selling their homes in the city and buying a property in the suburbs, many homeowners chose to give out their property on rent and move into a rental property in the suburbs and boroughs. Let’s say Mr A has a 5 bedroom home in the city, but he wishes to shift into a 5 bedroom home with a spacious garden. He will put his centrally located property on rent and find a nice 5 bedroom home in a developing borough such as Kingswells, Cheltenham or Reading. If you are looking for properties for rent in Cheltenham, then you should get in touch with a real estate agent today!
Virtual viewings will become more common
After the first lockdown, potential buyers were only allowed to view properties virtually via a live video, a 3D tour or a video tour. However, it seems that virtual viewings have become a thing of the present and the future. Almost every real estate agent has accepted this big change in home viewings. Gone are the days when people would attend open houses or visit 4 to 5 properties in a day to find their dream home. Now, potential buyers can just view properties online from the comfort of their home. Once they have shortlisted a few properties, potential buyers along with their real estate agent can visit these properties to decide on which one they like best. At first, it seemed that virtual viewings were just an adaptive change to cope with the pandemic, however, now it seems that this form of house viewing is here to stay, at least for the new future.
Change in buyer’s priorities
One major trend that experts are predicting in 2021 is the change in the buyer’s priority. As more people have started working from home, one thing that potential buyers are looking for is good internet connectivity and home offices. Some buyers are even looking at properties with spare bedrooms or garages which they can convert into home offices. Another thing that people are looking for, especially in apartments, are group workspaces. Builders and developers have now started working on projects which have a few floors that are solely dedicated to joint workspaces. Again, this has a lot to do with the fact that people are working from home, but sometimes they would like to go to an office or a workspace just for a change of scenery. Potential buyers are now looking to upgrade their homes and their lifestyles with bigger homes, fancier amenities, modern facilities and some outdoor space.
If you are thinking of moving to the outskirts, consider moving to Cheltenham; a posh town that is up and coming. If you’re looking for properties for sale in Cheltenham, get in touch with local real estate agents today.