Stamp Duty Holiday Extension and Spring Property Market Predictions

Posted by in Chartsedge News on the 3rd of March 2021

The Stamp Duty Holiday deadline has been extended to 30th June 2021 which has given many people that are in the middle of the buying process breathe a huge sigh of relief. However with solicitors and the Local Authority Search teams still hugely busy it still means that buyers will need to secure a property purchase in April to be able to benefit from this new deadline.

We have written below our Prediction for the market in the next few months analysing the affect for Vendors and Buyers:

March

Vendors

  • More houses start to come to market
  • Stamp Duty holiday ending in June focusing purchasers minds
  • Very Strong demand from buyers

There is a huge lack of property on the market at the moment but this is the traditional time for selling houses and we will see increased supply with buyers starting to have more choice. Many buyers have already sold and are in rented desperate to find their new home.

Buyers

  • The start of more properties to view
  • You will still be able to benefit from the SD holiday due to new deadline
  • A lot of competition for properties

A great time to buy to be in your new home by Summer and enjoy the benefits of the countryside and coastline of the South Hams. There will be slightly more choice of properties to view but competition will be stiff as the relocators in rented accommodation are really focused as their tenancies will be coming to an end. Make sure you have a solicitor instructed and that your mortgage brokers have all the paperwork they need so you can present any offer in the best light to the estate agents and be able to move quickly.

April/May

Vendors

  • Competing with many more properties coming to the market
  • Buyers becoming more discerning and less urgent in their search
  • Strong demand but buyers realising they may not be able to complete before SD deadline which will affect their budgets.

There will be a large increase in the numbers of property coming to the market and a more normal market will prevail. The time between marketing a house and it going under offer will increase and buyers will become more selective in their search and be more willing to make lower offers for property.

Buyers

  • Much more choice of properties
  • Last chance to move in by Summer
  • Need to be under offer with solicitors instructed before the end of April to have a reasonable chance to benefit from SD Holiday

Demand for houses will still be high but the choice will be more varied. Buyers will need to have all their ducks in a row as other buyers will have no chain with finance in place. From 12th April buyers from out of county can now stay for a short beak and plan a house viewing trip. The days of 8 hour round trips to make sure you secure your new home are now over!

June

Vendors

  • Many properties coming to market
  • Extended time on market before sale agreed
  • As SD incentive falls away normal demand returns with offers now being considered

The huge demand from buyers will have abated and a normal market will resume with timings to properties going under offer probably moving to the more normal 6 weeks. Buyers will have a choice of properties to view and will become stricter with their requirements and more discerning with their viewing appointments. The supply of property on the market will increase there will be more competition. Although we don’t think prices will fall and demand will be still good you may have to hold your nerve to get the price you want.

Buyers

  • Much more choice
  • Vendors may now take offers
  • Can be more flexible on your timings

With more choice buyers can plan their viewings better and not have to jump when a property comes onto the market. The pressure on solicitors, the Local Authority Search teams and lenders will have abated and the sales process should be quicker. Although the best properties will still have to be viewed quickly buyers will be able to plan a viewing trip to view a number of properties that suit your requirements.

Summer

Vendors and Buyers

We predict the property market slowing considerably as the whole country breathes a sigh of relief and goes on holiday. The focus for the whole country will be on having a good time, socialising and being outside in the lovely weather (hopefully in the UK). The desire to move to this lovely part of the country will still be there as remote working becomes the norm and demand from all over the country to move to our lovely part of the world will continue.

Summary

Vendors

If you are thinking of selling, right now, is a great time to achieve the best price for your home and sell to buyers that are in a great position. With more houses coming to the market in the next few months there will be more choice for them and demand will start falling to more normal levels.

Buyers

Bear with us.  We are starting to see more lovely properties and you will start noticing more of them come to the market.

Don’t forget to register with us as you will be informed about suitable properties well before they go on the portals. Also some of these properties will be marketed quietly and won’t be featured at all on the property portals.

Please contact us to discuss marketing your property or register with us to be the first to find out about a property coming to the market.

Miles Kevin MRICS  Director

Info@chartsedge.co.uk     01803 505115