Jan
7

What will 2021 bring for the housing market?

This article predicts the top three trends for the housing market in 2021 following the events of 2020. Although the article relates to the US, it is a similar situation here in the UK too.  

As the vaccine is rolled out this year, it is hoped that housing stock (or inventory, as Americans call it) increases and more properties are put on the market as people will feel more comfortable having people come and view their home.

To continue the 2020 trend, city living may become less appealing for those who continue to work remotely post-pandemic as they will no longer need to live near their place of work and people appear to be looking for more space in rural locations. This demand is predicted to drive-up prices in rural locations and for prices in the city to drop as there will be less demand. This article from Rightmove describes how the quaint Somerset town of Bruton saw the biggest increase in buyers searching for places to move to in 2020.

Rightmove’s Director of Property Data Tim Bannister said: “This year we’ve seen an uplift in the number of home-movers escaping to the country and we think this trend will continue for now as people show their willingness to make significant life changes. The data highlights just how influential the unexpected events of this year have been in shaping the nation’s housing priorities, with many buyers determined to swap city streets for rural and coastal retreats.”

It will be interesting to see how the market unfolds later in the year, but it should not come as a surprise if these trends continue.