Despite the many roadblocks the pandemic has presented, the housing market has shown continued resilience and determination.
As we’ve seen in past years, home movers are always keen to complete before the holidays when many solicitors close their doors for the holiday season. According to Nationwide, house prices rose by 0.9% in November. This put annual growth at 6.5%, the highest it’s been since 2015.
Further, figures from the Bank of England showed record numbers of mortgage approvals and completions towards the end of 2020. More than 100,000 mortgages were being approved in November defying expectations that the housing marketing was starting to slow down.
At Greenfield Mortgages, this trend was reflected by the high level of completions in the fourth quarter of 2020. With the housing marketing allowed to continue operating during the latest Lockdown 3.0, it’s hoped the same momentum will continue. As a large majority of homebuyers are looking to take advantage of the SDLT holiday before it ends on March 31st, bridging could be the right option to complete on a purchase quickly. (Read more about how a bridging loan from Greenfield Mortgages helped clients purchase their new home here.)
Looking onwards past Q1, once the SDLT holiday finishes, we may see a slight fall in housing prices again as demand lessens. In particular redundancies of furloughed staff could impact confidence and demand. However, this may prove to be the perfect opportunity for property developers or anyone else who spots a great deal such as an auction purchase. Further with the vaccine being rolled out throughout this year, we may find there is better consumer confidence in the market.
To discuss your bridging enquiry please call our team on 0121 233 1188 or email Enquiries@Greenfieldmortgages.com.