Leading UK housebuilder Redrow (LON:RDW) published its market forecast for next year on Tuesday morning, predicting a “solid” 2021 and stable housing demand despite the ongoing coronavirus pandemic. I expected it to be.
Matthew Platt, CEO of Redrow, commented: “We are very excited about 2021. We entered the new financial year on a strong note, but remain optimistic about continued housing, supported by hopes for the COVID-19 vaccine rollout. “Demand and Consumer Confidence”.
In November, Redrow surveyed 2,000 UK adults about their views on their homes post-pandemic and their hopes for 2021. Commenting on the survey results and trends in buyer preferences, James Holmare, Group Sales Director at Redrow, said: It is expected to appear within the next year.
Work from home infrastructure
For 50% of respondents, broadband speed was the “most challenging aspect” of living at home during lockdown, putting the national working-from-home arrangement in critical jeopardy as employers seek to expand remote working. are.
More than half (56%) agree that having a separate study (or at least a ‘homework-only’ area) will be an important factor in deciding on their next home.
“As customers reflect on their experience of lockdown, we are seeing a strong demand for homes with more living and working space,” Holmair explains. “Even after the worst of the pandemic is over, more people are expected to work from home on a regular basis, so securing space for working from home has rocketed up the priority list for buyers.
“We are also now more reliant on broadband than ever before, with a strong internet connection being the fourth most important thing, along with water, gas and electricity. This year, for many, strong connections are the only way to maintain both a professional career and social entertainment, and poor access is frustrating and frustrating. It can impact quality of life and even lead to isolation and loneliness. Broadband connectivity is now one of the first things potential buyers discuss with us when they visit our new developments. One.”
space in the house
Almost half (44%) of respondents said having outdoor space was their “biggest priority” when moving into their next home, with a further third saying floor space was important .
With demand for space and spacious gardens on the rise, almost half (48%) are considering the ‘single-family’ property they move into in 2021 as their ‘forever home’.
“Gardens are becoming increasingly important as we spend more time at home, and have become a top priority for many buyers when looking for their next home,” Holmea said.
“While this trend has largely been supported by the Covid-19 and lockdown scenario, Britons are becoming increasingly aware of how important access to fresh air is to their health and wellbeing. ”In the colder months, residents demand gardens that can provide cozy entertaining spaces with ready-made fire pits and outdoor kitchens. It’s increasing. ”
Commuting time becomes longer
Working from home has become the new normal for many professionals in the UK during the pandemic, with fewer than 10% hoping to live closer to work in the future. Almost half of respondents (49%) said they would actually be willing to move far away. Two in five Londoners (20%) would be happy to live an additional 45 minutes from work, assuming going to the office gradually reduces over the next few years.
Holmair added: “This year, city dwellers are realizing the benefits of living away from traffic pollution and crowds and are seeking healthier lifestyles. Even if it means turning our attention to They can afford the extra room they covet. There is now a reduced need to live close to work, a general movement away from cities, and a greater willingness to commute further and less frequently.
“Our research shows that a quarter (23%) are willing to spend an extra 30 minutes traveling to work, and in the future will “Commuting” is expected to increase significantly. How many days a week?”
technological revolution
Redrow reported that technology in the home buying process will become “even more pervasive” in the near future due to increased buyer demand. The pandemic has also accelerated the existing trend toward online “hybrid” models of home viewing.
“While homebuilding has traditionally been mired in the dark ages in terms of technology, buyer demand has pushed the industry further into the ‘digital’ realm, and we expect to see further advances in the coming year. Last year Redrow launched its online membership area My Redrow We have launched an online reservation service, accessible from , which allows buyers to legally complete reservations for their new home online and, outside of COVID-19, allows our customers to avoid lengthy reservation meetings. You no longer need to visit our sales center for
“While we never could have predicted that the ability to virtually tour properties and reserve homes would be as important as it is today, our investment in technology allows us to support our customers who still want to progress. ” on their movements during the lockdown. ”
Red Row Credentials
Founded more than 45 years ago, Redrow has a reputation for building quality, beautiful homes and “creating a better way to live.” It is listed on the London Stock Exchange and is a member of the FTSE 250 index. For the year to 28 June 2020, Redrow reported revenues of £1.3bn.
In Q3 2020, Redrow won the Global Good Company of the Year Silver Award in recognition of its social impact, and was founded as part of a long-standing partnership with charity The Wildlife Trust. The “Nature for People” biodiversity program was launched.
Throughout 2020, despite the pandemic, Redrow was consistently rated ‘Outstanding’ on Trustpilot and received back-to-back 5-star customer satisfaction awards from the House Builders Federation (HBF).
The company is also one of only eight UK construction companies to be named a Diversity Leader in the Financial Times’ first list of European Leaders for Workplace Diversity and Inclusion.
Redrow has a market capitalization of £1.83 billion, a dividend yield of 5.96% and a P/E ratio of 15.35, according to Hargreaves Lansdown.
