The coronavirus pandemic temporarily influenced property demand in two significant ways:
We are now seeing the start of this unwind.
As people increasingly return to work in cities, and the pandemic is expected to end, the relative demand for those inner city properties is starting to rise.
We have seen a number of the London properties that were sticking now getting interest from buyers who are likely to be commuting back into the city again.
The first thing to happen as we “unwind” is all those sellers who didn't need or want to sell during the pandemic are now starting to list. Average daily listings are now 5,500 up 31% from the same date in February.
A lot more property is coming onto the market and we are arranging a lot of valuations. We are hitting a spring market in combination with the extended stamp duty holiday.
This move is coming off a low base with stock levels at a six month low, 30% lower than the levels of September 2020.
Buyers are taking a lot of working with as they have more choice and more confidence that more property is being listed. The number of buyers will take time to catch up with listings.
The Times is launching a campaign to “Get Britain Moving: Speed up. Streamline. Save Money.” It has two main aims. First, to reduce uncertainty by introducing reservation agreements, which would make offers legally binding. Second, there would be greater transparency through the use of digital innovation to create a faster, more secure, less stressful way to buy property.
At Movewise we wholeheartedly support this and our business was founded to achieve these same goals. We support this not just in the offer-completion process but also in the “getting an offer” period.
Movewise achieves better results for property sellers by: 1) Picking the best agents using data. 2) Not getting stuck or forced into price reductions with a sole agent 3) Managing sales progression properly on all transactions 4) Digitising this and bringing the best of proptech to the industry for any vendor with any agent.
It's not clear to us whether reservation agreements will become widely accepted but if they are we will be the first to offer them to help our clients secure their sales. As for the digitisation we will be releasing a number of products over this year to digitise not just the sales process but also specific solutions for probate solicitors, developers and landlords to help with their sales with any agent in the UK. Watch this space.
Have a great week.
The Movewise Team