According to a recent survey, one in five adults in the UK plans to buy a house in 2022. That amounts to a whopping 9 million people who are planning on buying a house in the UK in this very year! A total of 2000 people were interviewed, out of which 18 per cent were planning on purchasing a property in 2022. Out of these, 34 per cent of the focus group was between the ages of 18 to 34. Around 14 per cent of the people interviewed were going to buy their first home whereas 14 per cent of existing homeowners were planning to sell and move to a better property in 2022. Out of the 18 per cent that was planning on buying a property in 2022, around 43 per cent said that they want to move to another area, whereas approximately 50 per cent said that they want to move into a more spacious home. If you are thinking about buying a house in the UK in 2022, here are some tips that you must keep in mind.
1 Choose the location wisely
In 2021, the buyer preference changed drastically. People were looking to move out of the city and move into the suburbs and boroughs, where they could shift into bigger and better homes at relatively cheaper prices. However, as work from home comes to an end, it is expected that the demand for city-centre properties will continue to rise again. Thus, as a buyer in 2022, it is very important to choose the right location. As per estate agents in Sittingbourne, Manchester, Liverpool, Birmingham and Leeds are some of the best areas in the UK to buy a property in 2022, as these places are upcoming and on every investor’s radar!
2 Understand the market
The housing market in the UK is very dynamic, to say the least. With changing buyer preferences, the imbalance between demand and supply, the rising rate of inflation, the increase in interest rates and the constant increase in price growth, it is very important to understand the market trends and time your investment wisely. First and foremost, it is important to understand when the demand is at the lowest and the supply is at the highest, as that is when the buyer will have the most advantage. Also, it is essential to understand the current market trends as that will help you make a smart investment decision.
3 Start saving for a deposit
With the rising inflation and thus the increase in mortgage rates, it is a good idea to start saving for a deposit. As a rule of thumb, potential buyers should start saving for a deposit at least 6 to 8 months before they start house hunting. As the rate of inflation continues to rise, banks and lenders will become very strict with their lending criteria. In that case, a potential buyer who is willing to put down a large deposit will probably be given preference over a potential buyer who is looking for a low deposit mortgage.
4 Look for properties under your budget
With the constant rise in the average price of a property, some experts believe that it is better to look at properties that are below your budget. Since the current housing market is so dynamic, the chance of an increase in the asking price is something that all buyers must be prepared for. With the average price of property reaching an all-time high, month on month, potential buyers should look at properties that are under their budget as many buyers find themselves paying more than the asking price. In fact, in 2021, around 30 per cent of the total properties that were sold in the UK were sold above their asking price. Hence, it is a good idea for potential buyers to look at properties under their budget so there is room for negotiation.
5 Be flexible and have patience
In this current market, it is very important for potential buyers to be flexible. First, you need to make a list of your requirements. This list should include all the things that your new house must-have. Then, you should make a list of the things that you want. Remember, there is a big difference between needs and wants. When you start house hunting, make sure to select or reject properties based on your requirements and not based on your wants. Secondly, it is important to be patient. Do not rush into purchasing a new property. Instead, be patient and wait for the right time to make an offer.