Homebuyer Demand Climbs In Q1, Although London Is Still Off The Pace

Homebuyer Demand Climbs In Q1, Although London Is Still Off The Pace
Free-Photos / Pixabay

Estate agent comparison site, GetAgent.co.uk, has released its latest Homebuyer Demand Hotspots Index of the year, revealing how the market has performed across the UK’s major cities during the first quarter of 2020.

Play Quizzes 4

Get The Full Ray Dalio Series in PDF

Get the entire 10-part series on Ray Dalio in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues

Q1 2021 hedge fund letters, conferences and more

GetAgent’s Hotspots Index is a quarterly look at homebuyer demand levels in each major UK city. The index is based on the number of properties that are already marked as sold subject to contract or under offer as a percentage of all homes listed across the major property portals. For example, if 100 homes are listed and 50 are already taken by prospective buyers, the area would sit at a 50% demand score.

[Exclusive] ExodusPoint Is In The Green YTD Led By Rates And EM/ Macro Strategies

Invest ESG Leon CoopermanThe ExodusPoint Partners International Fund returned 0.36% for May, bringing its year-to-date return to 3.31% in a year that's been particularly challenging for most hedge funds, pushing many into the red. Macroeconomic factors continued to weigh on the market, resulting in significant intra-month volatility for May, although risk assets generally ended the month flat. Macro Read More

The latest index shows that the market hasn’t paused for breath since the Christmas break, with homebuyer demand at 60% during the first quarter of 2020, up +6% since the final quarter of last year.

Biggest Increases

The biggest uplift in buyer interest has been in Bournemouth, where demand has climbed by +20% in the first quarter alone.

Oxford has also seen one of the largest increases at +11%, as has Newcastle (+8%), Swansea, Cambridge, Plymouth, and Leeds (+7%).

Highest Current Demand

In terms of the highest levels of homebuyer activity, Bristol ranks top with 76% of all homes listed already under offer or sold subject to contact. Glasgow (74%), Sheffield (73%), Leeds and Plymouth (71%) are also particularly hot.


However, with the ongoing uncertainty caused by Covid, London homebuyers remain more cautious. Overall, buyer demand in the capital sits at just 46% having crept up +3% since the final quarter of last year.

The good news is that just two boroughs, Newham and Brent, have seen demand remain static, while every other London borough has at least enjoyed some positive movement in homebuyer activity.

Bexley has seen the largest quarterly uplift at +14% and is home to the largest level of current buyer demand (74%). Havering, Hounslow, Hillingdon and the City of London have seen the next largest uplift since Q4 of last year at +5%.

However, along with Westminster (15%) and Kensington and Chelsea (19%), the City of London ranks as one of the coldest spots in the capital for current homebuyer demand with just 27% of all homes listed selling in current market conditions.

Increases In Homebuyer Demand

Founder and CEO of GetAgent.co.uk, Colby Short, commented:

“There’s been no let-up for a UK property market fuelled by the stamp duty holiday with a further increase in homebuyer demand during the first quarter of this year.

The approaching deadline no doubt dampened this demand to a degree and with an extension now in place, we expect to see further increases over the next two quarters of this year at the very least.

Covid has caused the large degree of regional variation found within the UK property market to come even more pronounced for a whole host of reasons.

While Bournemouth remains one of the coldest spots for current demand, it’s great to see that as we ease towards the end of lockdown, demand is starting to lift at the quickest rate of all UK cities.

London is also yet to bounce back to its former glory, although the good news is that demand is building across almost every borough.

It will be interesting to see just how long it takes for normality to fully return now that an exit plan is in place.”

Homebuyer demand

Homebuyer demand

Updated on

Jacob Wolinsky is the founder of ValueWalk.com, a popular value investing and hedge fund focused investment website. Jacob worked as an equity analyst first at a micro-cap focused private equity firm, followed by a stint at a smid cap focused research shop. Jacob lives with his wife and four kids in Passaic NJ. - Email: jacob(at)www.valuewalk.com - Twitter username: JacobWolinsky - Full Disclosure: I do not purchase any equities anymore to avoid even the appearance of a conflict of interest and because at times I may receive grey areas of insider information. I have a few existing holdings from years ago, but I have sold off most of the equities and now only purchase mutual funds and some ETFs. I also own a few grams of Gold and Silver
Previous article Dow’s Strongest Month In 50 Years For Average Gain
Next article Crowbits: A LEGO-compatible toy that makes STEM fun

No posts to display