The stamp duty holiday was introduced to help buyers save money when purchasing property. Some buyers have the chance to save up to £15,000 in stamp duty fees. This has stimulated a considerable level of activity in the housing market.
At Country Properties Hitchin, we have worked closely with many buyers and vendors in the local market. We are keen to connect as many people as possible, and if you are looking for guidance with your next move, please get in touch.
We also stay in touch with the latest market research from the leading names in the market. Information provided by NAEA Propertymark suggests there has been an increase in properties selling above the asking price.
There are many reasons why homes are selling above the asking price
This shouldn’t be a surprise. The increased level of competition for property means some houses will be in high demand, leading to some buyers willing to pay more to have their offer accepted. Also, if buyers are lowering the amount of stamp duty fee they pay, they might feel more comfortable in paying a higher fee for their ideal home.
The figures provided by NAEA Propertymark, suggest 13% of homes in August sold for more than the original asking price. This is the highest proportion since November of 2015. In June 2020, 10% of homes sold for more than the asking price and 8% sold for more than the asking price in July 2020.
While the average number of sales agreed per branch for August was slightly down on the July figures, moving from 13 to 12, it was the highest August return since 2007. When you consider the year-on-year figures, there was a 33% increase in the number of sales per branch.
There is a lot of movement in the housing market right now
Other stats of note in the NAEA Propertymark data include:
· The number of house buyers registered per branch dropped from 428 in July to 396 in August
· The number of available properties per branch fell from 43 in July to 40 in August
· The proportion of sales to First-Time Buyers fell from 25% in July to 23% in August
Mark Hayward, Chief Executive, NAEA Propertymark comments: “It’s interesting to see that one in eight properties sold for more than asking in August this year. Last month, we witnessed a boom in the number of prospective buyers following the government’s announcement of a Stamp Duty holiday, and it seems this is increasing the level of competition in the property market. With the increase in the number of prospective buyers since this announcement, many buyers are clearly willing to pay over the asking price in order to secure their dream home.”
Currently, in line with Government guidelines, our Hitchin branch has reopened and is again staffed with sales and lettings personnel. To clients old and new, if you have any queries or need advice on property sales and lettings then please call 01462 452951 or email firstname.lastname@example.org.