Despite COVID’s impact on everyday life in 2020, the good news for property buyers and sellers is that the market has continued to flourish. Thanks to Chancellor Rishi Sunak’s extended Stamp Duty Holiday on homes up to £500,000, sales last year expanded to the highest level of growth since December 2017.
In addition to that, the average house price grew by 3.5% in 2020 and with the Stamp Duty Holiday due to be extended further (to the end of June 2021), even more people will look to take advantage of the opportunity to avoid paying the additional tax cost.
St Albans property in 2021
So what does 2021 hold in store for the property market in St Albans? The signs are already looking good, with reports stating there has been a 30% increase in activity in January 2021 compared to the same period 12 months ago. The Bank of England recorded a 58% increase in mortgage approvals at the end of last year, laying out expectations that lenders will continue to encourage people to buy.
The good news for sellers is that St Albans house prices remained strong in 2020 and will continue to do so this year. The Telegraph recently predicted that St Albans will experience the second highest rises in property prices over the next five years, increasing by as much as 38%. It makes it all the important for buyers to strike in the market at a time when 95% mortgages are being made available and associated purchase taxes are much lower.
According to The Telegraph, average salary earnings in St Albans are around 46% higher than the national average, which continues to create a strong demand for property. The Financial Times also revealed that compared to 5 years ago, the number of Londoners moving out of the capital is now 80% higher, with value for money the main priority for many.
The average house price in St Albans over the last 12 months is just over £580,000, compared to the national rate of £262,000. It demonstrates just how sought after property is in the area and presents a great opportunity for sellers looking to maximise value and buyers keen to take advantage of avoiding Stamp Duty costs on properties costing up to £500,000.
What renters and buyers are looking for in 2021
There was a big shift in work culture in 2020, which has also influenced what buyers are looking for in St Albans. Properties with generous garden space and rooms that can be converted into home offices are high on the wish list of many as the way we work and commute has changed. While plans have been revealed to lift restrictions as the vaccine rollout expands, some will likely return to office spaces, although it is also true that the traditional 9-5, Monday to Friday routine will be disposed of by many companies.
With more people than ever looking for a better work-life balance outside of London, St Albans will remain a property hotspot for 2021 and beyond. The smaller close knit community, plenty of green spaces, high calibre schools and strong transport links to the capital and surrounding areas ensure it has plenty to offer property hunters looking to make a change.
Sales and Lettings in St Albans
If you’re looking to buy, sell, rent or let out property in St Albans, we have a wide range of properties available in the city as well as Sandridge, London Colney and the surrounding areas. Our team have over 25 years’ experience in the St Albans property market so are well equipped to help you with your property requirements. Get in touch with our friendly team today.