Exclusive: More than 9m Britons hope to acquire their first home or buy a new property this year
One in five UK adults plan to buy a property in 2022, according to a new study that was exclusively shared with City A.M. this morning.
new research from Market Financial Solutions (MFS) has revealed.
The bridging lender commissioned an independent survey among more than 2,000 UK adults. It found that 18% intend to purchase property this year, including 34% of those aged 18-34.
Among renters, 14 per cent plan to buy their first home while among existing homeowners, 13 per cent plan to sell up and move home in 2022, with 6 per cent hoping to purchase an additional investment property, according to the research by Market Financial Solutions.
Of those planning to buy a property this year, 43 per cent say they will look in a different area to where they currently live because the rise of remote working means they do not need to be in the same location. Half (50 per cent) want a property that has more space as the pandemic means they spend more time at home.
Two thirds (66 per cent) of prospective homebuyers are worried about inflation and rising house prices, which they say will hinder their chances to buy in 2022.
Further, 38 per cent said that the complexities and long waiting times involved in getting a mortgage are a major challenge when looking to buy a property.
MFS’ research also revealed how UK adults expect house prices to perform over the coming 12 months. The vast majority (63 per cent) believe they will rise, with 29 per cent predicting they will stay roughly the same and 8% thinking they will fall.
More generally, the study showed that 40 per cent of UK adults say the pandemic has changed what matters to them in a home – this is particularly true among those aged 18-34 (53 per cent).
“After a frenetic year for the property market in 2021, in which house prices rose sharply, there is a great deal of speculation as to how 2022 will unfold,” said Paresh Raja, CEO of MFS.
Raja told City A.M. this morning; “We should not expect any sudden slowdown; the fact that 18 per cent of UK adults – over 9 million people – intend to buy a property in the coming 12 months shows that demand remains sky high.”
However, “the so-called ‘race for space’ means that competition for certain properties – such as houses with gardens and spare rooms for home offices – will be fierce.
“Meanwhile, rising inflation, the potential for further interest rates hikes, and delays in securing mortgages, could also act as stumbling blocks for those looking to buy property,” Raja concluded.