As we reach the end of December, the UK property sector remains under intense pressure as the pandemic continues inflicting economic pain. But there are glimmers of hope on the horizon.
Nationally, house prices fell another 1% in November according to early data. However, the vaccine rollout and certainty of a Brexit deal have lifted moods slightly as 2020 wraps up. Mortgage approvals are steady and could rise in early 2021.
In London, the ongoing slump at the top end has seen prime central prices plunge almost 17% this year. However, search activity on portals rebounded in December, suggesting buyers are browsing with renewed optimism.
Regions like the East Midlands have fared better than the capital, with prices up 5% annually. But the North East remains weak, down 1.3% year-on-year as the recession bites in traditionally poorer areas.
Here in Essex, the market is fragile but stabilizing. Prices are flat month-on-month in December and annual transactions are only 5% below last year thanks to the summer rebound.
There are finally glimmers of light for the battered property sector after a traumatic 2020. But the path to full recovery still looks long and uneven. Much depends on controlling the virus and restoring economic confidence next year.
On that cautiously optimistic note, I wish all our readers a very Merry Christmas and much better New Year ahead! Here's to a healthy, happy and prosperous 2021.
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