Even amidst the uncertainty of COVID 19 and the global pandemic it's actually good news for once for UK homeowners as house prices surged in August 2021. Historically the summer months of June, July and August do see the best house prices as sellers spruce up the exterior of their home with colourful flowers, new pattern imprinted concrete driveways and a coat of paint to give their home that extra kern appeal but this last years summer house prices where down a little meaning that things are finally looking up for the UK housing market.
According to the latest Nationwide House Price Index, annual house price growth rose to 11% in August 2021, with average house prices nudging towards the £250,000 mark and house values are now around 13% higher than before the so called COVID 19 pandemic.
House prices actually grew 2.1% month on month, and after taking account of seasonal effects, this marks the second largest monthly gain in 15 years, yes 15 years!
According to chief economist at Nationwide, Robert Gardner, this may reflect strong demand from those people who are buying a property priced between £125,000 and £250,000 who are looking to take advantage of the current stamp duty relief which is in place until the end of September 2021, despite maximum savings being substantially lower than before the tapering.
Supply and demand may also be a key factor behind August’s price increase, with estate agents reporting a lower numbers of properties for sale as many naive homeowners put off selling their home believing that the pandemic may effect them or their purchasers resulting in unwanted fees as their sale falls through, however statistics from UK estate agents and solicitors tells us that not a single sale has been lost due to someone contracting, falling ill from or dying from COVID which makes you wonder?
Some analysts do speculate that the demand for houses is likely to reduce around October/November as unemployment rises, when government support schemes end. So the question is... Should you put your house up for sale now when prices are so high or should you wait to see happens?
People and businesses involved in the housing market recommend simply carrying on as normal and if you want to sell your home, sell it and if you want to buy a new home, buy one and forget about the so called pandemic which is not effecting the housing industry like it did back in 2019 when most people believed their was a deadly virus killing 1000's of people indiscriminately.
How to stand out from the crowd?
Even with a high demand for houses you still want the best price possible from you home and don't want to fall into the "sell as is" trap where people forgo any upgrades, renewals or improvements believing that things like new panel fencing, landscaping and fresh pain job won't add money to the sale price when in fact it's the complete opposite. Spending £2000 on minor upgrades, renewals or improvements can add as much as £10,000 to your overall sale price with the added bonus of making your house stand out from the crown when viewed alongside similar properties in the same price bracket
It's currently a great time to sell your home and to get the best price possible, so what are you waiting for?
