At Advantage, 2021 has been a particularly busy year during which we’ve been proud to help our growing list of clients throughout the UK secure the structural warranty cover they need. We’ve seen once again how resilient the construction sector has been throughout the pandemic and we’re looking forward to continuing to build our team and assist more new clients in the New Year.
In the meantime, we’ve been taking a look at some of the key housing sector predictions for 2022.
The market remains ‘extremely strong’ heading into 2022
This week, the Independent reported that the market remains extremely strong heading into 2022. According to a Zoopla survey, about 22 per cent of UK households remain ‘eager’ or ‘very eager’ to move home in the next 18 months as a result of the pandemic, as workplaces move towards more flexible, hybrid working options.
Gráinne Gilmore, head of research at Zoopla, says:
“As the UK emerges from the impact of the pandemic, so far, buyer demand remains around 20 per cent above the five-year average, while the stock of homes for sale remains lower than average, underpinning house price rises.”
“More normal” levels of house buying activity?
Meanwhile, the Guardian quoted Rightmove, which also offers an upbeat, but perhaps very slightly more subdued view, suggesting that the UK’s housing market is likely to return to more normal levels of activity in 2022 but will still be busy, with strong buyer demand carrying forward into next year and a rebound in the number of homeowners apparently getting ready to sell.
The property website said that following a “frenzied” 18 months, the market was heading for a
“less frenetic” period, with a more even balance between buyers and sellers as more homes are put up for sale and higher interest rates take some of the heat out of buyer demand.
The Guardian noted that Rightmove has already predicted that house prices will rise by 5% next year on a national level. That rise would potentially follow what is likely to be the busiest year for the housing market since 2006 (as Advantage wrote earlier this month).
Halifax expects slower house price growth
Halifax expects the current strong housing price levels to be maintained – the average UK house price is now £272,992, almost £34,000 higher than at the start of the pandemic – but anticipates that growth in 2022 will be somewhere between flat and 2%.
Advantage’s view: For the time-being, the consensus seems to be that 2022 will be another year of house price growth. However, with predictions varying, we’ll have to wait and see whether that growth translates into an “extremely strong” or “normal” level of transactions.
Do you require a structural warranty for your project? The Advantage team is proud to work with clients on developments throughout the UK to ensure that projects are covered by the appropriate structural warranty. To find out more, call: 0845 900 3969 or email: firstname.lastname@example.org