BREAKING PROPERTY NEWS – 29/07/2021

Estate Agent Networking Breaking News

Daily bite-sized proptech and real estate news in partnership with Proptech-X. Today, Stanton looks at Devon’s millionaire hotspot, the precipitous housing market, and work from home’s impact on Agents

 

  • Buying a second home in parts of Devon may soon not be possible
  • Will the housing market go from boom to bust?
  • Agents: Working from home has changed how we value property

 

Buying a second home in parts of Devon may soon not be possible

Salcombe in Devon, which has its planning strategy set by the South Hams District Council, has now passed a vote that means persons seeking to live in a new build will have to contend with a Section 106 agreement.

The council is very upset that new builds are being bought by local residents and resold to people from outside the local area who own a main residence somewhere else. But the 106 agreement, having been registered against the title of such a property, would stop this practice.

In what can be seen as a heavy-handed measure, the council voted all in favour of making a change or amendment to the local Salcombe Neighbourhood Plan.

“New open market housing, excluding replacement dwellings, will only be supported where there is a Section 106 agreement to ensure its occupancy as a principal residence. This policy is a result of impact upon the local housing market of second or holiday homes. This occupancy restriction will therefore require the imposition of a legal agreement. New unrestricted market homes will not be supported at any time.”

 

Will the housing market go from boom to bust?

At present, the Bank of England lending rate is just 0.1%, an all-time low, and property prices are at an all-time high; 30% higher than in 2007 when, due to the financial crisis of 2008, the housing market rapidly went from boom to bust.

Kate Davies, executive director of the Intermediary Mortgage Lenders Association, said: “Our findings forecast that 2021 will see the highest level of mortgage lending since 2007 and, with a combination of Government support helping to underpin new purchases and a bumper year for product maturities, we expect this high demand to continue.

However, with the Stamp Duty holiday soon coming to an end, and the Help to Buy scheme due to conclude in 2023, there is still a need for a coherent, long-term housing strategy from the Government that embraces the public as well as the private sectors – and delivers a market that meets Britain’s housing needs for the decades to come.”

Could it be that history will repeat itself yet again? Will the 2021 housing market be fuelled by the actions of the Chancellor and his SDLT giveaway, creating a situation that will ultimately result in a flat market with property prices falling in real terms?

With around 1.3 million people still on the furlough scheme (down from 5.1 million in January) it’s hard to gauge exactly what the real market trend is likely to be.

 

Agents: Working from home has changed how we value property

There has been much press about working from home and the joys and tribulations that it brings, with an equal distribution of positive and negative coverage.

But now estate agents are having to factor in elements such as wifi connectivity, garden size, etc., as they become hypercritical of the saleability of properties that fulfil certain priorities.

Some agents have said that £10,000 can be added to a property if it will allow its new owner to tap away at their keyboard or be on video conferencing calls without interruption.

Also, as many people are not commuting and are not utilising two cars, parking is, for some buyers, not such a deal-breaker anymore when contemplating properties with limited parking options. This means that these properties are achieving premium prices.

Though this changing notion of what exactly adds value to property has not filtered down to new builds. For example, few new homes are being built with two receptions and two studies to facilitate two adults working from home.

But, as one agent said today: “Though property is in short supply and it is very much hand to mouth, flats are a different thing. The lockdown has, for many, re-enforced the need for outside space and bigger rooms, and we are seeing quite a resistance to buyers enquiring about them. In a normal market there would be a brisk trade, especially to first time buyers.”

Andrew Stanton

CEO & Founder Proptech-PR. Proptech Real Estate Influencer, Executive Editor of Estate Agent Networking. Leading PR consultancy in Proptech & Real Estate.

You May Also Enjoy

Breaking News

UK house prices growing by 2.5% according to Halifax

Nathan Emerson, CEO of Propertymark: “This slight dip in house prices will likely have been influenced as a direct consequence to the current state of the global economy. There will always be a need for people to move house regardless of international trading relations; however, many aspiring or current homeowners will no doubt be discouraged…
Read More
Breaking News

UK house prices dip slightly in May, but market remains steady

Average property price now £296,648 compared to £297,798 last month Annual rate of growth slows to +2.5% from +3.2% in April Overall house prices have remained stable so far this year Northern Ireland continues to lead annual price growth in the UK Amanda Bryden, Head of Mortgages, Halifax, said: “Average UK house prices fell by…
Read More
Breaking News

Estate Agent Content

Do you think that your estate agency / property business requires content? Is content marketing still a thing in 2025? Are you concerned if anyone will read your words? Is it worth investing in estate agent content? Businesses with blogs generate 67% more leads than those without. As competition for attention online increases it remains…
Read More
Breaking News

The cost of voids rises by £200 for England’s landlords

The latest analysis by Dwelly, one of the UK’s leading lettings acquisition and success planning experts, has found that landlords have been hit with a 26% increase in the cost of void periods in the past year, equivalent to lost income of almost £200. Dwelly analysed average void period data from March 2024 and March…
Read More
Breaking News

Breaking Property News 5/06/25

Daily bite-sized proptech and property news in partnership with Proptech-X. Demand Rises for Housing and Infrastructure Projects Rising demand for housing, infrastructure and energy projects across Wales has driven continued growth at Lichfields’ Cardiff office, which this year marks 25 years in the capital. The team of 17 planning professionals is one of the largest…
Read More
Breaking News

Construction continues to enjoy a season in the sun

Underlying performance is on the rise during Q.2 2025 Today, Glenigan, one of the construction industry’s leading insight experts, releases the June 2025 edition of its Construction Index. The Index focuses on the three months to the end of May 2025, covering all underlying projects, with a total value of £100m or less (unless otherwise…
Read More