Which aspects of the post-Covid-19 property market look set to thrive?
For those in the property market at least, It may be that the worst of the Covid-19 crisis is behind us, but which aspects of the pos-Covid-19 property market will thrive?
Government advice no longer recommends against making house purchases, and people are beginning to look forward and make plans for their future. But there can be no doubt that the market has been significantly affected by the changes made.
As the market looks to recover, it is important to note that there will be differences in the kinds of property that are popular, and how these should be marketed.
There are many things to think about: how has Covid-19 affected what potential buyers are looking for from properties? And how has it affected what investors are looking for, too? Are certain types of properties likely to thrive? Are others now destined for a drop in popularity? Ultimately, there is a range of factors that will determine these issues.
So, here we take an overview of the post-Covid-19 property market, and consider how the changing landscape will affect which areas of the property market thrive.
Will demand fall and will this affect house prices?
There has been some speculation that the housing market will suffer enormously under the challenges of Covid-19. It is known that the market virtually came to a halt through lockdown, and it remains to be seen how fast it can recover. However, many are actually quietly confident that this is not quite as disastrous as it looks.
Firstly, people still need places to live. Covid-19 has not affected the basic facts of life, so there will continue to be a huge demand for properties. When people begin to feel confident in going back to normality, then the market should effectively return to normal.
Additionally, reports have suggested that the fall in house prices has been small, and that it is likely that over a five year period, this fall will not have any effect.
Gardens and outdoor areas
Undoubtedly one of the most attractive features for any property at the present time is a good-sized garden. Outdoor socialising has become a lot more important due to the pandemic and it may be the case that this continues moving forward.
For the same reason, properties with patios and balconies have grown in interest as they can provide those living under Covid-19 conditions to get outside. Gardens, balconies and patios have always been popular, but they just have special relevance now.
Home office space
It is also interesting that more people are working from home than ever before, and that this will naturally impact the desire for home office space. This is something that is completely new for the property market, as there has never been a time where such a large proportion of the population has been interested in a home office.
Property industry businesses are making changes
Andrew Goodwin, of Andrew Goodwin & Associates, a team of chartered surveyors in Oxford, says:
“The pandemic created real challenges for us to be able to do our work, but we have been able to implement alterations to our working practice, and conduct our surveys while maintaining government-recommended social distancing measures”.
This is just one story – but actually a huge number of businesses in the property sector have had to adapt themselves in order to survive. It is simply the issue that being involved in the selling of a property often means you need to visit that property, which is something of a problem under the current conditions.
But estate agents are offering virtual viewings and mortgage advisers and conveyancers are providing their services via telephone or video call, showing that the property is being flexible to deal with these circumstances.
What about property investors?
Now could actually be the ideal moment for property investors. Those people who are interested in buying low and selling on for a profit could have a found a time when prices are actually a little lower, but there is nothing to stop an investor from buying and renovating. Investors can look forward to that fact that, as mentioned earlier, this dip will be a short-term occurrence only. So even if they plan to sell within the next couple of years, they can still potentially make money.
This is something that property professionals need to consider when they are talking to investors.
Kindly shared by Annie Button