House prices are down, but they are really up – July 2020

UK property Prices July 2020

The negative stats were from April through June 2020, with these figures released by the mortgage provider Halifax. Looking at the wider picture and at the yearly figure so far then we have prices rising across Wales and within all regions of England.

When we consider the global crisis that was recently experienced that included a world’s first ever lock-down with people not able to work and the necessary intervention from the government having to support people’s income, then a tiny 0.9% drop, when even the estate agency world was firmly paused, then surely it proves how solid the UK property market really is (only Scotland showed negative years growth figures).

Demand on UK property is still very high and immigration in to the UK is also busy, with the difficulties currently in finding land with permission to build and targets not being met for new house building then for sure there will not be too much of a drop in valuations in the next few months.

the EY Item Club is forecasting a 3 per cent drop over the next few months, before stability resumes at the turn of the year.House prices forecast to fallThis is Money

Many will say, and I agree, that the full effect of Covid-19 is yet to be seen in regards to financial position of government and in turn consumers, but possibly spending in the UK itself will increase especially due to people fearful of travelling such as for holidays, spending happen at home rather than abroad. The will also be no need to pay out to the EU soon substantial daily fees and the chance for big dealings via international trade deals (free trade deals) with countries such as the USA, Australia and New Zealand.

A trade deal between the US and UK will jump start growth…The Daily Telegraph – June 2020

Estate Agencies have mostly reported positive activity following the lock down and the pausing of the UK property market. Speaking with varied agents I know, around the country (England) there seemed to be positive sales / enquiry figures with a slightly slower activity report from within areas of London.

So ahead of us we are still very much in the unknown regarding Covid-19 and it’s overall effect, Maybe it is now all done and dusted and it’s effect will slowly disappear allowing us to get back to normality though of course there are reports that it may re-appear and via a much stronger strain, this of course would be highly damaging to the economy and in turn property prices and sales activity.

One thing is for sure though is that property prices usually remain robust and in all cases they rebound. There maybe a potential doomy and gloomy road ahead, and especially if you read any of the typical politically motivated press, though even a small decline in prices will lead to an increased activity in the market and demand will once again go up!

 

Christopher Walkey

Founder of Estate Agent Networking. Internationally invited speaker on how to build online target audiences using Social Media. Writes about UK property prices, housing, politics and affordable homes.

You May Also Enjoy

Rightmove logo
Breaking News

Rightmove’s weekly mortgage tracker 30/05/25

Average rates for 2-year and 5-year fixed-rate mortgages   Term Average rate Weekly change Yearly change 2-year fixed 4.64% +0.03% -0.78% 5-year fixed 4.61% +0.03% -0.45%   Lowest rates for 2-year and 5-year fixed-rate mortgages   Term Lowest rate Weekly change Yearly change 2-year fixed 3.82% +0.02% -0.93% 5-year fixed 3.88% +0.09% -0.55%   Average…
Read More
Home and Living

Carpet Cleaning Specials in Stanton: Save on Your Next Service

Sure, the carpeting in your Stanton home is inviting and adds warmth and comfort, but it can also store harmful dirt, allergens, and bacteria that can affect your family’s health. This makes regular carpet cleaning not only better for your health, but also your wallet. With Carpet Cleaning Stanton specials, you can save on the professional services…
Read More
Rightmove logo
Breaking News

Seven in ten branches now using Rightmove’s insights and training platform

New figures from Rightmove, the UK’s largest property platform, show that seven in ten estate and letting agency branches are making use of its insights and training platform, the Rightmove Hub. This is up from 56% of branches back in 2023. The Hub, first launched ten years ago and recently revamped, has expanded in response…
Read More
Letting Agent Talk

From Fixer-Upper to Profitable Asset: Strategic Renovations for Landlords

Did you buy a fixer-upper? Or maybe you inherited one. Either way, you’re standing in a place with peeling linoleum, a questionable smell, and wallpaper that could file for social security. The big question: Do you patch things up, go full HGTV, or just torch it for the insurance (don’t do that)? First, take a…
Read More
Breaking News

Household Costs Indices for UK household groups: January to March 2025

Household Costs Indices, 12-month growth rates, expenditure shares and contributions for UK household groups and all-households. These are official statistics in development. Main points Overall UK household costs, as measured by the Household Costs Index (HCI), rose by 2.6% in the year to March 2025; this is a fall from 2.9% in the year to…
Read More
Surge in country and seaside property values
Breaking News

Why Rural House Prices Are Surging Faster Than Cities

New analysis from Open Property Group reveals that rural England is facing an affordability crunch, as house prices in the countryside outpace urban growth, despite lower average wages and higher living costs in remote areas. These shifting dynamics are challenging the long-standing assumption that rural life offers a more affordable and sustainable alternative to the…
Read More