A Dundee property expert says demand for homes is outstripping supply – with more people looking to move to the edge of the city.
Chris Todd, a partner at RSB Lindsays, believes support for first-time buyers is also playing an important part in fuelling the local market as people plan for post-pandemic life.
The firm today revealed that its Dundee-based estate agency team completed sales on properties valued at a total of £74.9 million in the past financial year in Tayside – with the number of homes sold locally the same as the previous 12 months, despite the coronavirus lockdown.
Bounced back from lockdown
The house moving industry was close to dormant for almost three months at the peak of the pandemic last year, due to lockdown restrictions.
But the market bounced back in unprecedented style – with £37.8m worth of sales recorded by the Dundee team between August and November alone.
Mr Todd said: “It has been a quite extraordinary year for the property market in Dundee, given the circumstances in which we have found ourselves.
“Demand is outstripping supply in terms of the number of homes available, which is creating a really competitive environment.
“Many decent-sized family homes are going for a substantial premium over the home report valuation.
“Perhaps that reflects the new working from home pattern that many people are now doing. Homes with more rooms – perhaps for an office – and a garden are seen as essential.
“We are also seeing homes in more rural areas around the city selling well. Again, that is perhaps a reflection of people looking to get out of the town and live more rurally as they may not have to commute as much and can get more for their money in general.”
‘Buoyant and resilient’
Mr Todd predicts that interest will remain keen across Tayside throughout the spring and summer as people see in reality what impact the further easing of Covid-19 restrictions and new working arrangements will have on their lives.
He added: “The market has been both buoyant and resilient since it effectively reopened at the end of June.
“What’s essential is that lenders are still lending. Schemes such as the Scottish Government’s First Home Fund and Help to Buy ISAs are getting the first-time buyer market moving which, in turn, fires up the rest of the market.
“As before the pandemic, we are still seeing many offers subject to sale, which has been a fairly new trend over the last year or two.”
Virtual viewing
RSB Lindsays staff conducting viewings do so within Scottish Government rules over social distancing and hygiene requirements. Guidance documents are shared with viewers and sellers.
Before an in-person viewing can take place, all prospective purchasers first take part in a virtual viewing of a property, generally via a video tour.