Good news is coming to the real estate market in the United Kingdom as many real estate properties are starting to lower their prices overall. Many reports show that the prices in that specific real estate market started to lower down starting January of this year.
ALSO READ: More Millionaires are Coming to Live in the US, UK, Australia and Singapore
Prices in Most Real Estate Market in the United Kingdom Started to Lower Down
According to Mansion Global, the good news is starting to bless many real estate investors and customers as overall prices are starting to lower down recently. The said lowering of prices is thanks to the continuous streak of prosperity in the past six months. One reason for the streak of prosperity is due to many buyers, specifically the fading of their gusto (the enjoyment or vigor) when it comes to real estate, along with the upcoming stamp duty holiday deadline.
Reports indicate that the real estate market values have increased in the last month, a 6.4% annual increase. This is coming from a decrease of 7.3% last December of 2020, thus bring the pricing on the average of £229,748 (US$313,694) per property in the country. Additionally, the mentioned stamp duty holiday that serves as a tax breaker on homes priced below £500,000 ($682,244), which also acts as a tax saver is another reason for the lowering of overall prices of the United Kingdom's real estate market.
Thanks to the stamp duty holiday, many real estate customers in the United Kingdom are enticed more to purchase their own home, seeing that they will be able to save a lot during this time of purchase. Many are now calling for the said stamp duty holiday to be extended, for the benefit of the buying public. However, due to the re-implementation of stricter lockdown protocols on the 4th of January after the confirmed new variant has spread throughout the country, many are wondering what would happen next with the said holiday.
Many real estate market experts are saying that prices in the said market will end this year in a flat rate. That is due to the demand in the real estate market becomes more seasonal and steadier, which will be noticeable in the upcoming second half this year.
Expert's Real Estate Market Predictions That Were Made Last Year Became True About the Prices Lowering
It seems that the predictions made by real estate market experts done last year became true. According to The Guardian, during December last year, many have predicted that the prices in the market will drop down as much as 5% total. Their main reasoning for this is both the rise in unemployment and the incoming end of the previously mentioned stamp duty holiday.
They have stated that the property market will be haunted by the economic fallout from the current global pandemic. The main factor for that is due ot the sudden boom in the real estate market during the midst of the pandemic. It was expected that around 2% to 5% would be the average price drop in the real estate market in the United Kingdom in 2021.
ALSO READ: Homeowners Must Ditch This Home Design for the Year of the Ox
