The housing market is set to bounce back following the Covid-19 lockdown with buyers and sellers keen to get on with business, industry leaders in Cornwall have claimed.
Estate agents in Cornwall believe the coronavirus pandemic has not had the same impact on their sector as the financial crashes of the past, with boom and bust periods being the norm. The coronavirus has simply put everything on hold.
Andrew Chilcott, co-founding partner at Lillicrap Chilcott estate agents in Truro said the sector was slowly working back to normality, after having been stifled during lockdown, but had managed to hold its own.
“Money is still cheap to borrow from the banks,” he said. “There is still money around but more than that there is this strong desire from both buyers and sellers to do things and get on with it. And that’s right through the property market and across the whole county.”
Like so many "non-essential" businesses the estate agent closed its doors on Lemon Street the day after the lockdown was announced and was only allowed to reopen - albeit with social distancing measures in place - in May.
Mr Chilcott said that estate agents across the region have been able to continue trading throughout the pandemic lockdown - although many of the staff have been furloughed - but without the usual flurry of activity.
“Sales were limited because solicitors and mortgage lenders have also furloughed staff or put business on hold but we have been able to sell some houses to people who had already done their viewings and made an offer and wanted to get on with it," he said..
“Since we reopened our office we have seen a steady increase in the number of inquiries. There is a healthy local market as well as demand from people out of county wanting to invest or relocate to Cornwall. It’s not as busy as the same time last year for obvious reasons but it’s gaining momentum.”
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Mr Chilcott said travelling to view houses had been made more difficult because, with everything shut, there was nowhere to go for house buyers but that too should change when the hospitality sector reopens.
More non-essential shops and services are expected to come back online come June 15 with the leisure and hospitality industry allowed to reopen in July.
He believes that once more people return to work or are no longer housebound - either because they are shielding or looking after children not in school - the market will bounce back even more rapidly.
He added: “The market will react very well but there is no understanding how it’s going to work going forward.”
According to the latest Nationwide House Price Index house prices are down -1.7% month on month compared to last year’s prices although they are still 1.8% higher overall on an annual basis.
Clive Pearce from Clive Pearce Properties, in Truro, said he has not been this busy in a long time almost as if there has not been any lockdown at all.
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However he insisted that some of the practices of the industry had changed slightly with many sellers only accepting viewings from proceedable buyers to avoid unnecessary contact with people and minimise any risk of Covid-19 contagion.
He said: “Since we were unlocked we have agreed an above average number of sales. Sales agreed before the lockdown are now exchanging as planned and prices are holding.”
Chris Clifford, head of residential sales at national estate agents Savills, in Truro, said his firm had received a massive amount of inquiries from people keen to relocate to Cornwall perhaps in view of the lockdown being less pleasant in larger urban centres than in a coastal Cornish village.
He said: “The whole region continues to remain sought after and we have seen a spike in interest more recently from buyers seeking to relocate to Cornwall for improved outside space and greater access to countryside and coastal locations. In fact, since the lockdown restrictions were put in place we have registered over 170 new buyers, with a combined budget that exceeds £160 million.”