What does the future hold for Suffolk’s new homes market?
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Back in the spring of 2020, few would have expected lockdown to spark the housing market, combined, as it was, with a rapid contraction of the economy. But the performance of the sector has, for the most part, been running hot.
The extent to which the surge in activity has been sustained over a period of successive lockdowns has continued to surprise many, even accounting for an additional catalyst in the form of a partial stamp duty holiday.
And while the lockdown initially caused some to put their plans on hold, the prolonged nature of social distancing appears to have changed buyers’ priorities.
However, not all parts of the market have been equally affected by the pandemic. As has been widely reported, the reassessment of what people want and need from their homes has generally favoured the country – and counties like Suffolk, Essex and Norfolk – over London.
The end of the stamp duty holiday in June may well cause a change – but at the higher end at least we expect it to have little impact.
Demand for new homes in sought-after locations – such as our scheme at Laureate Fields in Felixstowe – continues to be extremely high.
Suffolk and its neighbours remain a hot destination and that’s unlikely to change. More space, both inside and out, and access to the countryside and coast remain at the very top of buyers’ priorities.
In addition, demand continues to outstrip supply and the launch of new schemes later this year – 10 new homes in Hacheston by BW Developments Ltd, eight apartments in Great Cornard by Willow Walk Homes, 27 homes by Hopkins and Moore in Somersham and five fabulous properties on the coast at Felixstowe Ferry Golf Club to name just a few – will likely generate considerable interest.
The new homes market is also at an advantage because there is potential for developers to look at more incentives – such as help paying the stamp duty post June, assistance with mortgage payments or complimentary household appliances – to ensure their product remains attractive from a cost perspective.
The vaccination programme and the consequential relaxation of social distancing will also start to impact on buyer and seller behaviour – bringing greater confidence to the market.
While we never quite know what’s around the corner, the new homes market in Suffolk looks well placed to meet the challenges in the short, medium and longer term.
For more advice about the new homes market in Suffolk contact Max Turner at Savills Ipswich on 01473 234826.