Homebuyers’ confidence fragile ahead of election
Although the survey found that people expect property prices to rise by 2.2% over the next twelve months, just 49% agreed that now is a good time to buy property. This compares to 58% in December 2009, and is the first time that the proportion agreeing that now was a good time to buy property has fallen below half since December 2008.
Commenting on the report’s findings, Paul Broadhead, head of mortgage policy at the BSA said: “It is no surprise that people are uncertain if now is a good time to buy property. Potential buyers will be waiting to see the effect on the property market of the end of the Stamp Duty holiday. The forthcoming budget and general election provide further levels of uncertainty to potential homebuyers.
“However, despite these concerns, people still expect property prices to rise over the next year, showing that they believe that property remains a good investment. Once the election is over, and people are more confident about the economic outlook, we hope that buyers will return to the market.”