At Roots Mortgages, we like it when people move home. We like it when they spot that perfect property, and in the not too distant future, are able to call it their own.
Granted, the process is not always that simple. But many would say that while moving home is very stressful, the result is usually well worth it.
Some exciting statistics about how many people have gone through this process have emerged recently, with a big increase in home moves seen in the first half of 2021.
In the latest Roots Mortgages blog, we take a look at this trend and what it reflects about the mortgage world at present.
Strong numbers across the board
According to findings from Halifax, the number of house moves that took place between January and June 2021 were the highest for a 6-month period since way back in 2007.
In excess of 461,000 home moves took place during this time. This represented an increase of 52% on the entirety of sales recorded for 2020.
Beyond this, more than 265,000 property sales were recorded in the first half of 2021, with first time buyers playing a significant role in the positive statistics. More than 210,000 purchases were down to first-time buyers in the year to June 2021.
These statistics are the highest they have been since 2007, when more than 700,000 transactions were recorded in a six month period.
This trend was reflected across Britain. In England and Wales, transaction numbers were more than double what they were for the first half of 2020 in the first half of 2021. And in Scotland, transaction numbers were 86% higher for the same period.
Are there any caveats?
In truth, there are a few factors that will have affected these statistics.
Both home move and first time buyer processes in 2020 will have been heavily affected by the pandemic. The financial implications of this for many involved parties will have undoubtedly delayed some transactions from being completed.
But as things started to stabilise in 2021, more and more of these delayed plans will have been picked back up. This will have undoubtedly affected the numbers, but also reflects the level of interest in getting a property deal sorted once normality started to return.
Is the mortgage industry out of the woods?
The pandemic’s effect on the market was drastic and threw a lot of things up in the air. One of these things was the number of completed property deals.
The recent numbers seem to show that those dark days are now long gone. They indicate that deals are out there and it is possible for a vast number of property deals to get over the line.
It is worth noting that factors such as the stamp duty holiday will have helped increase these numbers. That was still in play until June 2021, when regrettably a further extension was not provided, despite pressure from brokers.
It would be a surprise if such high numbers were seen again in the latter part of 2021. But there are still plenty of reasons to move ahead with your property purchase sooner rather than later. Mortgage rates have started to increase, meaning striking before they likely rise further could prove advantageous.
Initiatives like Deposit Unlock are also making headway, while contractors and freelancers are seeing new mortgage deals hit the market aimed specifically at their demographic.
All in all, it is good to start to put the dark days of the pandemic behind us. In the mortgage world, this is being reflected in people getting that dream home, so why not join their ranks? A good starting point is some free mortgage advice to help you get the ball rolling.
