House prices in the UK are expected to end 2020 on a high, according to property website Zoopla.
Despite the recession, lockdown and economic downturn, the housing market is booming, with agreed sales expected to rise by £62bn this year on last year.
Zoopla said house prices rose 3.9% in November, taking the average UK house price to £223,000.
According to real estate company Rightmove, home prices are expected to continue rising through 2021. Asking prices have risen about 7% this year and are expected to rise another 4% over the next 12 months.
“2021 is going to be a busy start. While the new year is usually a time for setting resolutions for the coming year, many will see 2020 as an opportunity to put a break, including a fresh start in a new home. For those who have not yet taken action. Many businesses have already done so since the UK market reopened in May, with the seasonally quiet run up to the Christmas period reducing the likelihood of completing purchases before the stamp duty deadline. Yet more and more companies continue to do so.” Move to the right.
Stamp duty is due to end in March, and house prices are expected to fall. The Office for Budget Responsibility has said the current economic boom will come to an end as unemployment rates soar in the UK.
The Office for Budget Responsibility said: “Although house prices briefly fell during the onset of the pandemic, recent indicators suggest that they have since rebounded fairly strongly.”
“This follows the easing of public health restrictions and the stamp duty holiday for residential property transactions that came into effect on 8 July 2020. is expected to decline in 2021 due to expected labor market adjustments following the end of the coronavirus job retention scheme.
“Despite a steady recovery from 2022 onwards, house price levels remain approximately 17% lower over the forecast period compared to our March forecast.”
