COVID-19 - The Housing Market: How Buyers & Sellers Can Use the Downtime Effectively

The housing market is on pause but temporarily. What can we expect? What can buyers and sellers do to use the time effectively and be ahead of the game for when the market resumes?

As the UK begins its third week of social lockdown and agents (as non-essential businesses) have closed their offices, one of the most asked questions from our clients is: What does this mean for the property market?

At the moment, the housing market is paused. There is no slump or crash, despite what some sensationalist tabloids may go on to suggest. Like many of us, the market is temporarily closed for business with temporary being the operative word.

Just as physical viewings and in-person valuations cannot take place at the moment, nor can surveys and bank valuations. Inevitably, this means you can’t raise a mortgage and while the banks are unable to safely lend money, the housing market is unable to function properly.

So, how long is this likely to last? This depends on a number of factors such as, how quickly the banks will begin lending again, particularly when an individual’s future income may be uncertain. After a buoyant start to the year, will the market pick up where we left off or will it be some time before lenders, borrowers and property valuers can trust the market data after such an unprecedented event?

This doesn’t necessarily mean that underlying property prices will suffer but with transactions drying up, the property market is likely to take a while to recover. However, it will bounce back and it’s important for sellers and buyers to make the most of the downtime.

SELLERS

The best advice we can offer is to use this time to get your home in top condition for when the market resumes. As lots of properties are likely to become active in the market again at the same time, competition will be high and you will need to ensure that your property stands out from the crowd.

There is no better time for sellers to tackle that list of jobs around the house, which could make all the difference in a few months' time. Phil Spencer has some great guides on home selling first impressions and what you need to know when selling, at MoveIQ.co.uk. For our Landlords, we recommend our guide to Preparing Your Property under the Landlord Section of our website.

VIRTUAL VALUATIONS

If you are thinking of selling your home, why not contact Bay Estate Agents for a virtual valuation. On submission of photos/video footage of your property, one of our valuers can prepare a preparatory valuation for you before visiting your property when the restrictions ease. Therefore, you do not lose any time and can hit the ground running when the market resumes. Contact us at mail@bayestateagents.com for more details.

BUYERS

For prospective buyers, it could be a good time to get your budgeting in order and take some time to research the various mortgage options available. The recent base interest rate cuts could be very important.

VIRTUAL VIEWINGS

If you are thinking of buying, why not contact Bay Estate Agents for a virtual viewings. Our Property Managers can answer any queries and provide you with additional property photographs, floor plans and video footage (where available). This will give you a head start for when things return to normal and you may be in a position to proceed with a purchase.

For more information, updates and guidance as the situation changes, please keep an eye on the News section of our website ( http://www.bayestateagents.com ) and our social media updates.