The UK property market has attracted global interest for decades, acting as a rite of passage for wealth preservation for investors. Now, with more relaxed BNO rules and UK’s Stamp Duty Holiday, more buyers from Hong Kong are snatching up properties in the UK with plans to relocate. But when is the right time? Will buying at a certain time of the year affect the price of a home? Is there a better time when buying second-hand versus new-build properties?
Several factors play into the economics of purchasing a home. The economy can have a
significant influence on demand, while the season you buy in can impact the options you have and prices, which can fluctuate according to demand.
UK’s Second-Hand Market
For buyers interested in the UK’s second-hand property market, winter and autumn are typically the least expensive times to purchase a home. During this off-peak season, the pool of buyers is small and buyers have fewer options to choose from. However, there is less competition for homes and sellers are eager to negotiate. It’s the right time to buy if you want to save extra money in your pockets.
While spring and summer are the best times to enjoy house hunting under brighter weather, both tend to be the busiest seasons for the property market. Sellers and buyers alike, wish to settle during these months before kids head back to school in September.
Sellers will have more buyers interested in their homes, meaning that there will be very little
room for price negotiation. However, there will be more options to choose from. For families
looking to relocate, this may be a better time to hunt and purchase a permanent home.
New-Build Properties in the UK
Unlike second-hand properties, prices of new-build properties do not fluctuate according to
seasons. Developers periodically launch new properties during the entire year. Buying early is always best. New property launches tend to have a lower price point compared to subsequent launches where developers will increase prices by a minimum of 5 to 10 per cent.
Purchasing a home in the UK is always tricky, especially when there are so many options
available on the market. Ask yourself several important questions before deciding: do you want to purchase a second-hand or a new-build property? Is price an important consideration? Is the property used for investment purposes or self-use?
It’s always best to speak to a professional to provide advice and help assess your budget and the current economic situation before any purchases. Only once you are informed of the pros and cons, you can make a clearer decision on when is the best time to purchase a property in the UK.