We are barely half-way through July and already the Newark property market is slowing down in line with the rest of the country. The Express reports that now the stamp duty tax relief is being tapered down and will come to an end completely at the end of September, the market is already showing signs of change. House prices climbed at the fastest pace in almost 17 years in June according to building society Nationwide, with the average property 13.4% more expensive than a year before.
This somewhat artificial market bubble has come crashing down with house sales dropping by more than half this month after the Chancellor of the Exchequer altered the stamp duty holiday initiative according to estate agent Knight Frank. The agency said the number of property exchanges during the first week of July was 60 percent below the five-year average for this time of year. The property firm said this was a direct result of buyers scrambling to complete property deals before the end of June.
A buying frenzy began in the wake of the stamp duty holiday as buyers sought to purchase homes with more green space. Will Rhind, head of mortgage advice at Habito told Express.co.uk: “The property market was hugely bolstered by the relief brought in July 2020 which was initially intended to end this March. Since last summer, we’ve seen several months of record levels of property transactions as demand outstripped supply. “The three-month extension to the relief – to the end of June – was projected to benefit over 100,000 additional property buyers nationwide. “However, the level of demand has caused delays, and there will be homeowners who still miss out on the full relief due to circumstances outside of their control.”
Disappointed buyers are facing increases of a minimum £12,500 to the cost of moving for houses of £250,000 or more. This may well result in prices being renegotiated or buyers pulling out altogether. Now that the Newark property market is slowing down in line with the rest of the country you may find yourself needing a fair price for a fast sale. If that is the case, then contact us and we will be on the case straight away.