Lasting effects of the pandemic on the property market

House prices in the Haslemere area remain at an all time high and this could be a long-lasting effect of the pandemic.

According to the latest index from Halifax, the average home now costs £262,954, up 0.7 per cent from July and 7.1 per cent over 12 months.  The typical home is now £23,600 more expensive than a year ago.

Rita Tinney, Keats Sales and Lettings Director commented: “With rising demand for property in our area over the past year, house prices have naturally increased. However, the rate of house price inflation is starting to slow. 

“Despite the stamp duty holiday tapering to an end this month, demand for property in Haslemere and the surrounding villages remains high. There is a shortage of property coming to market and this is keeping property prices high.”

Halifax managing director Russell Galley says these prices are here to stay: “Much of the impact from the stamp duty holiday has now left the market, as highlighted by the drop in transaction numbers compared to a year ago. 

“However, while such government schemes have provided vital stimulus, there have also been other significant drivers of house price inflation … such as the demand for more space amid greater home working. These trends look set to persist and the price gains made since the start of the pandemic are unlikely to be reversed once the remaining tax break comes to an end later this month.”

Iain McKenzie, chief executive of The Guild of Property Professionals added: "For all the speculation about what would happen when the stamp duty holiday ended, these figures look like business as usual for a jaw-dropping year for house prices.”