New-build sales soar as private sellers begin to worry
Two of the largest house builders in the country have claimed that their sales actually increased in the run up to the Brexit vote, while asking prices have been falling for private sellers.
It was widely envisaged by industry professionals that all aspects of the property market would suffer if the UK voted to leave the EU. But while it all appears to be doom and gloom for those looking for a quick house sale through their local estate agent, things appear to be looking up for two of the largest house building companies in the UK.
Both Persimmon and Bovis Homes have reportedly seen a huge increase in sales on their new developments across the country for the first half of 2016, and those within the company are remaining optimistic over the foreseeable future despite worries about the falling pound and market stagnation.
“Trading has continued well since the referendum, and the early signs have been positive,” said Jeff Fairburn, CEO of Persimmon.
“We have seen good interest levels – the sales rate has held up and people are still wanting to buy.”
Despite taking a 5% hit on share value after the Brexit vote was cast, clearly confidence is at an all-time high for Persimmon as their shares rebounded this week to £13.62 – 30p higher than they were initially.
UK house buying experts believe a big part of their success is thanks to low borrowing costs for first-time buyers, as well as having a dedicated sales team to help the new builds appear more affordable to potential buyers.
New build homes are also less likely to suffer from structural issues often associated with the older properties in the possession of the majority of homeowners. This is bad news for those looking to sell their homes fast, as the increased competition lessens their houses’ visibility in the market place while they are already suffering from the drop in value sustained from the Brexit vote.
For those struggling to sell, property buying companies are always willing to purchase any home for cash regardless of condition or location – a great help for those who need a fast house sale in the midst of a potential economic downturn.