Demand for rural homes in Britain falls as the impact of the pandemic wears off, the report says | Daily News Byte

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Demand for rural properties in the UK has fallen

Geography Photos / Contributor / Getty Images

According to real estate website Zoopla, demand for rural homes in Britain has fallen as the epidemic trend of rural migration declines.

Inquiries for properties in areas of Kent, known as the Garden of England for its rolling hills and beautiful countryside, are down by 0.5% in 2022 compared to the five-year average. In the wider Lake District National Park area, demand fell by 5% compared to the same period, and in mid-Wales it fell by 10%.

Zoopla defines an “inquiry” as emailing or calling an agent about a home for sale.

In April 2020, during the height of the Covid-19 pandemic, 46.6% of people in employment did some work from home, according to the Office for National Statistics. That figure rose to 57.2% in London, and there was a migration from bustling urban areas as people sought out leafy cities and coastal villages. Instead.

“Since the pandemic began in spring 2020, buyers — freed from the daily office commute — have been casting their home-hunting nets even further,” Richard Donnell, Zooplan’s executive director of research, said in a press release.

Most people who started working from home during the coronavirus pandemic plan to work both at home and in the office going forward, according to ONS data, and many companies have mandated a return to the workplace, which appears to be Cause a pivot in the housing market.

“The dynamics that shaped the housing market over the last 5 years are changing. We expect affordable urban centers to expect better than average rents in 2023,” Donnell said.

The cost of living crisis also contributes to this change. apartments Cheap to run from an energy perspective, and on average, UK Houses are more than double in price Apartment – the most In 20 years, according to Zoopla.

Urban areas also offer more employment opportunities.

Tough environment for buyers

The Bank of England raised its interest rate to 3.5% on December 15, raising borrowing costs for home buyers. According to Moneyfacts.co.uk, two- and five-year fixed mortgage rates are set to rise by more than 3% through 2022.

The UK mortgage market was plunged into crisis in September following policy changes by then Chancellor of the Exchequer Kwasi Kwarteng. Lenders pulled hundreds of residential mortgage deal offers as they tried to navigate the new economic landscape.

Some market watchers are now predicting a major downturn in the UK property market as a result of the country’s weakened economy and sticky high inflation rates.

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