Nearly 10% of would-be home buyers and sellers have put their plans on hold over concerns about the coronavirus outbreak.
A survey by lettings and sales agent Benham and Reeves found the majority – 83% – remained undeterred by the spread of the latest coronavirus virus, COVID-19.
But 9% of those who were in the middle of buying and selling have abandoned plans. Meanwhile a further 9% of people who were originally thinking of purchasing a home or selling their current property this year, have put the plans on hold.
Interestingly, the group who were discouraged the least by the threat of COVID-19 were those aged 65 and over, who are also the group most at risk from the virus. As many as 96% said they would continue with their property purchase or sale regardless.
Those in the 18 to 24 age range, meanwhile, were far more concerned about the coronavirus impacting their plans and had called off a sale or purchase as a result. A further 27% of this age group decided against moving this year.
More uncertainty?
The property market has only just emerged from a period of uncertainty as doubt over Brexit prevented many potential buyers and sellers from making a move. But things had started to improve at the start of year.
Marc von Grundherr, director of Benham and Reeves, said buyers and sellers had returned in ‘abundance’ and the market had ‘well and truly sprung back to life’.
He added: “It would seem that having sat on the sideline for such a long time, and while the threat of the coronavirus remains at arm’s length for many, the mere suggestion that a global pandemic would now stop them from buying or selling is completely out of the question.”
House prices
The study also revealed, if COVID-19 became a more serious threat and spread a greater rate, 69% of people said they would not let it hinder their home buying or selling plans.
What’s more, Benham and Reeves looked back at how the property market fared in previous pandemics and discovered, during the flu outbreak between March 2009 and August 2010, UK house prices increased by 12.3%.
Von Grundherr added: “Growth during previous pandemics suggests that house prices will also remain unaffected and while we may see a stutter in foreign investment from areas to have been worst hit, domestically we will soldier on and won’t let it dent our aspirations of homeownership.”
