Despite the COVID-19 pandemic, the Cheshire property market has remained competitive as ever throughout 2020 and 2021. Demand for houses has been consistently high, but will this remain the case for the foreseeable future? What is realistically in store for the Cheshire property market in 2022?
Throughout the Coronavirus outbreak, our Cheshire homes have been essential to us. They have protected us during months of isolation and being told to stay indoors. They have provided us spaces to continue working from to maintain our livelihoods.
Spending so much time in our Cheshire properties has shown us exactly what we require from them. As a result, many buyers and tenants have decided to move based on these requirements throughout the pandemic.
Demand across the county has increased for properties with extensive outdoor gardens and additional rooms as home offices and gyms. Search terms involving these spaces on property portals such as Rightmove and Zoopla have grown immensely throughout the pandemic.
Several other contributing factors throughout the pandemic reinforced the demand in Cheshire's property market. The Government announced a stamp duty holiday in July 2020, with many Cheshire residents rushing to push their sales through and meet the deadline, which concluded in September 2021.
Furthermore, the Government also introduced guarantees for mortgages and green home grants to help with prospective costs when moving home.
With all these incentives, and homeowners/tenants fully understanding the requirements of their home, 2021 will likely have seen 1.5 million properties exchanged.
That makes it the busiest year in the housing market since 2007.
Recent weeks have made it clear that COVID-19 will follow us into 2022 as our efforts to protect against it continue. Having had such an impact on the Cheshire property market since March 2020, it poses the question:
How likely is it that COVID-19 will continue to impact the Cheshire property market in 2022?
The stamp duty holiday has ceased. The green homes grant has ended. The Government are no longer telling us to stay at home (although at present, we are being advised to work from home where possible). The incentives to buy and sell during the pandemic aren't as present as they were since the initial outbreak.
Our somewhat return to everyday life out in the world no longer leaves us reeling from cabin fever with our current Cheshire properties.
This likely means that the Cheshire property market is set to stabilise in 2022, returning to the recognisable activity levels before the pandemic.
Property portal Zoopla has revealed that buyer demand is currently 28 per cent above the five-year average, up since 2016. However, the staggering increase in demand has not been met by the rise of properties on the market. Instead, the number of properties listed for sale is down by 42 per cent in the same five-year period.
Will this change in 2022?
Usually, the week leading up to New Year is notorious for a surge in traffic on property portals, particularly Boxing Day. As friends and families are gathered together following the Christmas Day festivities, property portal Rightmove reports that 51 million users can be found browsing for homes as they look to move in the New Year.
Not only will this increase the demand for property further, but it may also see an influx of stock arrive on the market in time for 2022 as people look to move up or down the property ladder. If moving home is your New Year resolution, then looking to do so as close to the start as possible is ideal.
Outside of supply and demand, the average time to sell a property has also managed to stabilise heading into 2022 but has displayed a slight pick up since October. It is unlikely to drastically change over the next couple of months with demand remaining high, but it will certainly be interesting to watch:
What does the Cheshire property market have in store in 2022 for...
The competition in the Cheshire property market does not favour the first-time buyer bracket. With prices growing, 2022 will undoubtedly be an expensive year for first-time buyers. The highest amount of money spent on a property in the North West was £11,000,000.00 back in June, which is certainly out of reach for first-time buyers (unless you happen to have a winning Euromillions ticket hiding around somewhere).
There are viable options for first-time buyers in the Cheshire property market, and not all hope is lost for those eager to get their foot on the property ladder. The stock of flats and apartments in the Cheshire property market is much more outstanding than the traditional detached, semis and terraced homes. Demand is also lower, and they have seen the lowest price gains throughout 2021, making them an affordable option for first-time buyers.
If you are looking to get your foot on the property ladder, regardless of property type, then this could be the solution for you.
Home-moversThere are several reasons you could be looking to sell your Cheshire home in 2022. Upsizing. Downsizing. Relocation (within or outside the county). Regardless of your reasoning, the type of your current property could make all the difference in the speed of your sale. As we head into 2022, family homes are particularly in demand across Cheshire. This is ideal for those with these types of homes who are looking to downsize or relocate outside of the county.
If you are looking for a quick sale, you need to coordinate with your next purchase, which could be problematic if the sellers are in a chain.
As mentioned with Rightmove seeing a surge in traffic on Boxing Day, this is the ideal time to get your property listed. Your home will be at the top of the listings and in the spotlight to gain maximum exposure as millions of people start looking for their next home.
Landlords and property investors
The property market's stabilisation in 2022 will mean that property prices will fall more in line with achievable rental yields. As a landlord/property investor, this will mean that you can pay fairer fees on expanding your buy-to-let portfolio without having to fall short on your returns.
It would be best if you continued to remain vigilant with the due diligence you conduct during the sourcing and purchasing stage. Always look to invest in stock situated throughout in-demand areas, and don't pay fees upfront that are greater than what you can realistically achieve as a rental figure. Working with a managing agent well-versed in the high-demand Cheshire rental areas is a certain, positive first step to getting you the best results.
If you are looking to sell or move in 2022 and want to capitalise on the extensive demand in the new year, there is still time to get your Cheshire home listed on the property market. Get in touch with Richard and Simon today, who will proactively help you achieve the best price for your home and write the next chapter of your life on the Cheshire property market.