At the height of the lockdown, it was predicted that UK house prices could fall by as much as 10%.
But move quickly a few weeks and house costs are now at an all time high.
According to analysts, prices rose 2% in August – “the biggest monthly increase” since February 2004.
Robert Gardner, chief economist at Nationwide Bank, said the May and June losses had now been “written off.”
He added: “The rebound reflects the unexpected rapid recovery in activity since the relaxation of restrictions. ”
This unanticipated market surge has benefited sellers across the UK, including North Wales.
Where has the market benefited the most?
New data compiled by Rightmove has revealed which locations are benefiting the most at the moment.
Surprisingly, those at the top of the list in Wales are not big cities, as WalesOnline recently reported.
Instead, Blackwood in Caerphilly saw the biggest rise in house prices according to the study.
It saw a 23% increase in August from 2017 numbers – an important indicator of popularity.
The average town house used to sell for £ 154,634, but is now worth around £ 190,129.
There have been similar increases in North Wales with companies like Llanfairpwll seeing a rise in the market.
The average price in the village of Anglesey is now £ 253,882, much higher than 2017 sales.
This means there has been a 21.5% increase – the average house having previously sold for £ 208,941.
The same percentage increase is also seen in the housing market in Corwen in August.
According to Rightmove, the average Denbighshire town house sold last month for £ 260,088.
This is a 21.5% increase in sales in August 2017, which would have been around £ 214,136.
And the third and last local area to benefit significantly after the lockdown is Holyhead, on Anglesey.
The average house price there was previously £ 172,827, but has now risen by 20%.
Those who sold properties in the city just a few weeks ago have likely received around £ 207,450 in sales.
However, three areas do not appear to be benefiting from the arrival of first-time buyers.
According to data from Rightmove, Flintshire County saw the biggest increase in the number of new owners.
Last month, home prices for first-time buyers rose 7% in that county.
It was the sixth highest increase in Wales – from £ 138,439 (April 2019) to £ 148,239 (April 2020).
Denbighshire was not far behind Flintshire, although it itself saw a 6% increase.
First-time buyers in the county can now expect to pay around £ 143,608, up from £ 134,986 (2019).
Why has the market been boosted?
According to Nationwide, there are a number of reasons behind the surge in the housing market.
This includes the “pent-up demand” that is coming in now, for those who wanted to move before the lockdown.
There may also be behavioral changes that are boosting activity across the country this summer.
Robert said people could “re-assess their housing needs and preferences due to life in lockdown.”
Nationwide’s own research found that 15% of people were considering moving because of it.
According to the economist, “these trends are expected to continue in the short term, further reinforced by recent news.”
This relates to the stamp duty holiday which will encourage some to submit plans to return to the country.
The scheme – known as the Wales Land Transactions Tax – currently has a threshold set at £ 250,000.
This means that buyers get a holiday on the tax paid on sales of homes valued below this financial limit.
The program is expected to last until March 2021 – with the housing market expected to change after this period.