What Effect has a Decline in Properties Purchases had on Price?
Even though it’s too soon to give a final answer to this question, it could be interpreted that a decline in demand and a cut of income because of unemployment, has forced some proprietors to lower their asking price.
A mix of unpredictability among property buyers has led The Centre for Economics and Business Research to say that property prices could fall by 14% in 2021.
Buying and Selling Property During this Year
While this may be bad news for property sellers, it does create an huge opportunity and advantage for property buyers, particularly those that already have money put by for a deposit.
With that being said, requirements for deposits have risen with most lenders now asking for 10 or 20% deposits. Due to the average property price now standing at £240,000, that could mean that some property buyers need a deposit of approximately £47,600.
Halifax, Britain’s biggest mortgage lender, said the economic fallout inflicted by the pandemic would catch up with the property market in 2021, after an unexpected boom during the coronavirus pandemic. They also predicted a fall in house prices of between 10% and 14% for the year as a whole.
In case you are looking to take advantage of the situation, there are a lot of property software where you can find very good house deals. One of the best-known is DealSourcing. This proptech software has been able to automate this process and create a platform that becomes your very own property sourcer. Through algorithms and the power of automation, the platform is able to find properties from all across the internet and sort them by ROI.
It saves you time, money and energy! The key feature of this platform is to find High Yield properties. It’s a no brainer to have DealSourcing.co if you are looking to invest in a property in 2021.
The software also calculates the return on investment for every property on Rightmove and locates below market value properties for sale, saving investors hours of time spent on research.
This type of software searches for great property deals, either for you, or to sell onto another investor for a price. One of the most crucial things you need to know that any successful property investor knows, is how to find good property deals. So before anything else, you need to know what makes a valuable property deal. DealSourcing will do that work for you.
It said the impact of the 2020 crisis on house finances had been retarded by helpful UK policies such as the furlough scheme, but that the scaling back of help in 2021, meant huse prices would low. This will also pressure on the property market after price rises in 2020. Russell Galley, Director at Halifax, said: “With the stamp duty holiday also due to expire in March housing market activity is likely to slow.”
The prediction for the housing market comes as Britain’s economy is under pressure due to the situation the country is going through, tougher lockdown controls for much of the UK, and chaos at Britain’s borders with just days to go before the end of the Brexit transition.
The Top 3 More Useful Use Cases of DealSourcing.co:
- BTL & HMO Deal Analyser
Say goodbye to all your property spreadsheets. For each deal, they calculate the cash flow, without the need for a spreadsheet or a calculator. Work out your maximum offer, including any costs, Stamp Duty, profits, or even if you have to leave money in the deal.
- Find High Yield properties by location
They’ve analysed the data of nearly 500,000 properties across England, Scotland and Wales. Their primary mission is to find the highest buy-to-let yield for each postcode.
- Find negative equity properties by location
Property is in negative equity if it’s worth less than the mortgage secured on it. They help you find those deals by geographic location.
Brought to you by DealSourcing.co
DealSourcing.co puts the power of automation in your hands. Search over 200,000+ Below Market Value deals (Buy-To-Let, HMOs and BRRR) with ROIs above 15% with the click of a button. Find High Yield properties with our efficient and easy-to-use tools.