Monthly Property Investor Update: August
As the ‘new normal’ starts to resume across the world, we’re only just starting to understand the long-term impact COVID-19 has had on both the economy and the UK property market. Following a slight pause in transactional volume, we examine what the future holds for UK Property in 2020 and beyond.
UK Property Market Forecasts Still Positive Over Long Term
UK Cities Return to Pre-Crisis Levels – February 2020 Roundup
Rental Price Growth Hits New High – January 2020 Roundup
Industry Roundup – December 2019
Industry Roundup – November 2019
Key Property Headlines
Explore the ‘need to know’ headlines for UK Property Investors. Keep up to date with the latest news and insights with our monthly investor round up.
Everything from the best places to invest in the UK to the latest taxes changes for investors, the SevenCapital investor round up gives you the latest information to make well informed decisions in the UK Buy-to-Let Market.
Stamp Duty Changes
The Chancellor has announced a temporary holiday on stamp duty land tax until 31 March 2021 – welcome news for a property industry that is only just starting to re-open following a drop in transactions.
House Prices Defy Gravity
Despite downward pressure from a shrinking economy, UK house prices are around 1.7% higher than they were in 2019.
Encouraged by interventions such as the Stamp Duty holiday and continued low interest rates, we’re seeing the results of a government that is unwilling to let the market fail.
Growing Rental Performance
July was an excellent month in the rental market for regional cores across the UK. As average rents continued to climb – hitting highs of £845 – the market started Q3 up 3.4% on the same period last year.
Unfortunately, London experienced a different story as average rents fell by 0.6% over the year while stock levels went up. Likely driven by Airbnb owners switching from a short-term focus to the long-term rental market, competition in the capital continues to be fierce.
Bigger is Better for Tenants
Following easing lockdown restrictions, which saw many markets slow to a halt, we’re already seeing new buyers and tenants return to the property market in search of 2-bed apartments.
With this new wave of eager enquiries, there’s two vital signposts for investors: the arrival of a ‘mini-boom’ driven by pent-up demand and a shift in the way that people are thinking about their homes.
- July Stamp Duty Changes
- House Prices Defy Gravity
- Growing Rental Performance
- Bigger is Better for Tenants