Britain’s booming real estate market is producing record sales figures, with an average of 13 buyers for every home on the list.
Sales agreed to last month were up 57% from April 2019, with many realtors now immediately asking potential buyers for their “best and last offer” to avoid gassing.
Experts said the industry is working around the clock and buyers are resorting to extreme measures to secure a home.
Mark Hayward, chief policy adviser to the real estate lobby group NAEA Propertymark, said: “It’s pretty aggressive out there. Some people move into a rented property so that they can move very quickly.
“There are people who move into trailers and live in the area so they can quickly jump in if something hits the market.
Britain’s booming real estate market is producing record sales figures, with an average of 13 buyers for every home on the list. Sales agreed to last month were up 57% from April 2019, with many realtors now immediately asking potential buyers for their “best and last offer” to avoid gassing. (File image)
“We have cases where potential buyers have actually followed agents in cars to properties so they can be the first in line.
“Others give instructions to buying agents who scour the market for properties on their behalf.
Others turned to writing handwritten letters to persuade buyers that they would be the best new owner.
In April, more than 157,000 sales were closed, according to figures compiled by real estate analysts TwentyCi.
The surge in demand was largely due to extremely low interest rates and the suspension of the stamp duty on houses under £ 500,000, which was extended until the end of June by the Chancellor Rishi Sunak.
The pandemic has also seen people reassess their living space, with a Zoopla spokesperson saying recent demand has focused on three- and four-bedroom homes, one of which has become a home office.
The surge in demand was largely due to extremely low interest rates and the suspension of the stamp duty on houses under £ 500,000, which was extended until the end of June by Chancellor Rishi Sunak.
Nicky Stevenson, of Fine & Country real estate agents, said, “The market is turbo. There is a huge demand for property and a significant shortage of supply.
Ms Stevenson said a recently listed property in Warwickshire had an indicative price of £ 2.25million. Within days there had been 16 views and it sold for £ 100,000 above asking price.
There is now an average of 13 buyers for each property, according to NAEA Propertymark.
House prices are also rising at the fastest pace since 2004 – up 2.1% in April to a national average of £ 238,831, according to the Nationwide lender.
Real Estate Legal Advisors Are At ‘Breaking Point’ When Trying To Manage Sales
Property lawyers are at the “breaking point” trying to cope with the deluge of home sale transactions.
Some transfer of ownership companies are refusing new work as the sector struggles to cope with a number of transactions 130% higher than normal capacity.
Tom Lyes, of trade magazine Today’s Conveyancer, said many carriers work seven days a week.
“It’s not an overreaction to say it’s at breaking point. Many carriers feel broken and completely deflated, ”he said.
“The shifting of the stamp duty deadline to the end of June actually takes the pain point further down the road. “
A recent survey of 200 property lawyers found that 85% had suffered from mental health issues as a result of their workload, while 49% had seen colleagues leave the profession.
Beth Rudolf, of the Conveyancing Association trading body, said lessons could be learned from Scotland where sellers must provide documents in advance and transaction times are on average only six to eight weeks, against 22 weeks in England.