Jeremy Leaf: Property market not out of steam
The property market has not run out of steam, despite the tapering of the stamp duty holiday coinciding with the start of many prospective purchasers’ summer breaks, according to Jeremy Leaf, North London estate agent and former RICS residential chairman.
Annual house price growth in August rose to 11.0% from 10.5% in July with the average property now costing £248,857, according to Nationwide’s latest house price index.
Leaf went on to say that prices are still underpinned by an acute shortage of stock in some areas of the property market, but ample supply of mortgage finance.
He added: “Confirmation of post-furlough working arrangements is contributing to a release in more pent-up demand which, if the strong signs on the ground are anything to go by, is likely to continue until the end of the year at least.”
Tomer Aboody, director of MT Finance, said that after the initial slowdown as stamp duty relief started to taper, buyers seem to be back out in force, deciding that the potential saving they missed out on is not as important as being able to find their dream home.
He said: “Significantly, low interest rates have continued to encourage buyers to stretch themselves.
“This state of affairs is unlikely to change anytime soon, which will continue to support prices as supply is low.
“While people are still keen on going green and protecting the environment, a bigger push is needed from the government in supporting and funding this.”