While the impact of coronavirus and the country’s subsequent lockdown cannot yet be seen in recent property market figures, previous statistics show the industry was faring well before the pandemic struck the UK.
According to the latest House Price Index from Halifax, the year leading to March 2020 saw house prices increase by three per cent, taking the average cost of a property to £240,384.
Russell Galley, managing director of the financial services provider, said property values remained unchanged from February, with trends continuing as they had been over the last few months, including “a sustained level of buyer and seller activity”.
“These factors all underlined a positive trajectory and increased momentum in the early part of the year, with confidence rising as political and economic uncertainty eased,” he stated, referring to the general election in December, which saw the Conservatives achieve victory and Brexit go ahead at the beginning of 2020.
Mr Galley went on to say: “However, it’s clear we ended the month in very different territory as a result of the country’s response to the coronavirus pandemic.”
There has been no action in the market over the last few weeks, with transactions being paused and no properties for sale in Hackney becoming available. This is due to the general public being advised to stay at home, and estate agents, conveyancers and surveyors closing to keep their staff safe.
As a result, activity will drop from both buyers and sellers, making it difficult to predict how it will affect the market in the long-term.
However, recent figures from Nationwide reflect Halifax’s, showing prices rose 0.8 per cent in March, and three per cent over the preceding year, demonstrating the market was in a strong position before the crisis hit.