Is 2022 the best year to buy a house? What will happen to housing prices next year?
THE PROPERTY MARKET HAS HAD A STUNNING YEAR IN 2021, bouncing back from the first coronavirus lockdown. Will there be a price drop for optimistic buyers next year as prices continue to rise?
Since the first shutdown, the housing market has exploded, owing to a variety of causes prompting hundreds of thousands of people across the UK to rethink their living arrangements in light of what are likely to be long-term changes to the way we live and work. Furthermore, after record transactions near the conclusion of the stamp duty holiday, the property market is experiencing a severe lack of homes for sale.
The stamp duty holiday, which was worth up to £15,000 on the first £500,000 of purchase until the end of June, has now been reduced to £250,000 in England and Northern Ireland until the end of September, causing a surge in activity on the market.
With 213,120 sales reported with HMRC in June, it was a record month for home sales.
The number of properties for sale in June fell by 26.4 percent compared to the 2020 average, according to property portal Zoopla. Britain is experiencing its “greatest stock shortfall since 2015,” according to Zoopla.
However, while home prices have risen at the quickest rate since 2004, which is favorable for sellers, buyers are naturally looking for lower pricing. So, do you think this pattern will continue into next year?
In 2022, property experts do not expect any significant changes in the market, with most expecting that prices would continue to climb or level.
However, one major concern is the scarcity of available homes on the market, which has been exacerbated by the high frequency of sales, which has depleted available stock.
The scarcity is especially acute among family residences and those priced between £350,000 and £500,000.
“The post-pandemic evaluation of where to live has further to run, especially when workers obtain confirmation of flexible working,” said Gráinne Gilmore, head of research at Zoopla.
“This means that higher levels of demand will continue to exist, putting potential sellers with family homes to sell in a strong position.
“However, due to a dearth of supply, particularly for family homes, the market will naturally slow for the rest of this year and into next year as buyers wait for new stock to become available.”Brinkwire Summary News”.