LOCKDOWN
WAS A TALE OF
TWO HALVES
A decline in sales and lettings
activity was observed from
mid-February, with a low point
of activity being reached in
April 2020. The market had
essentially paused due to
uncertainty from both the
Government and all parties
involved in transactions.
However, the property market
could not remain inactive for
long. Pent-up demand saw
enquiries from all customer
groups increase long before
the lockdown was lifted.
Technology has played a vital
role in connecting customers
to properties, with renters
increasingly likely to put an
offer in on a property which
they have viewed virtually.
13th May 2020 saw the
lockdown eased for estate
agents, leading to an increase
in activity as the market now
looks to facilitate repressed
demand. Whilst it's too early
to forecast the longer term
impact on sales and lettings
transactions, we can observe
changing customer behaviours
and emerging trends across
different parts of London.
The London housing market let out a
huge sigh of relief when the result of
the General Election was announced in
December 2019. At the start of 2020
sentiment improved as uncertainty was
replaced with confi dence, particularly
in the sales market, demonstrated
by higher levels of market activity
compared to 2019. Foxtons experienced
a noticeably strong and steady growth
in the sales pipeline during the fi rst two
months of the year.
The impact of Coronavirus - and the
subsequent lockdown period on the
London property market - has been
unprecedented, with businesses and
individuals having to adapt quickly to
a new normal.
The early days of lockdown saw the
majority of ongoing sales transactions
across the country put on hold due to
government restrictions on surveys,
mortgage valuations and physically
moving house. In lettings, only properties
which were vacant could be moved into,
leading to some sales properties being let
in the absence of an agreed completion
date for an ongoing sales transaction.
The lockdown period called for particular
support for ongoing sales transactions
and priority was given to key workers and
at-risk groups where possible in lettings.
Ensuring high levels of service for tenants
and landlords with existing properties
remained a key priority for us. We were
impressed with the enthusiasm from
both our customers and our teams in
adopting a more digitally focussed way
of working, enabling us to continue to
offer support to those who needed it.
THE IMPACT OF
CORONAVIRUS
THE LOCKDOWN PERIOD CALLED FOR
PARTICULAR SUPPORT FOR ONGOING
SALES TRANSACTIONS. Source: Foxtons
4 The London Report | The impact of Coronavirus