Improve or Move: is the backlog in the property market causing a home improvement boom?
The Telegraph recently reported that there is a risk of up to 200,000 people missing out on stamp duty savings due to backlogs in the property market. The stamp duty holiday, which is confirmed to have not been extended will end on March 31, has caused a boom for the housing market, with vendors taking advantage of the surge in demand for more space and a new environment. This surge in demand and backlog in the market comes as no surprise after Brits have been confined to their homes during the spring and winter lockdowns.
However, with 200,000 people possibly missing out on stamp duty savings, many are now looking to make the most of their current environment by refurbishing and revitalising their current properties. Nationally representative research from mobile-based billing service, Powered Now, further supports this sentiment as 15% of tradespeople are currently seeing their highest client demand ever.
- 81% agreed that despite Coronavirus, they won’t postpone home improvement work because of a reluctance to have other people in their house
- 18% agreed that the threat of a second wave of COVID has influenced them to commence home improvement projects sooner rather than later
- 15% of tradespeople agree that their client demand is the highest ever, post-lockdown
- 17% of tradespeople regularly work over 10 hours a day
- 18% of tradespeople don’t have the time or motivation for new business development due to the sheer backlog of work they have
Ben Dyer, CEO of Powered Now, has commented on the research and discusses the sentiments Brits have towards home improvements amid the stamp duty holiday:
“Our research has shown that the trade sectors have most certainly seen a boom following the lift in the spring lockdown, and the continuation of work for the construction and trade sectors in the winter lockdown goes to show how integral they are to the economy.
The new restrictions have had a negligible impact on the construction sector so far, and overall activity around construction has to be welcomed. Given the bonanza that housebuilders are currently experiencing from the stamp duty reduction, it’s no surprise that they are the best performing sector of the construction industry. Whether this boom for the housing industry will be followed by a bust is unknown. At the moment, most firms are just grateful for the good business they are getting right now given how much other sectors are suffering.”