There is no doubt that the cost of moving has increased over the past few months, with buyers feeling the strain of having to pay out thousands if they missed the September deadline for the stamp duty holiday; however, there is some good news for home buyers.
Although stamp duty has been reintroduced, conveyancing solicitors London and nationwide are reporting a decrease in their fees; what’s more, the same is true for estate agents
What is causing the decrease?
The market is viewing this dip in professional fees as a sign that the market is returning to competition.
Now that it is safe for professionals to compete for business again, sellers have returned to their ‘old normal’ of inviting several estate agents to their homes to conduct a valuation before deciding which to use. During the lockdown, it wasn’t legal or safe to do this.
Competition
Estate agents and conveyancing solicitors London and nationwide, realising that they are back in competition with each other, have dropped their fees to be more competitive.
Unfortunately for buyers, this hasn’t made much of an impact on their post-move bank balance. This is because house prices have continued to rise during the pandemic, especially in light of the stamp duty holiday.
Prices
Prices rose dramatically during the last few months of the stamp duty holiday, as buyers were rushing to move ahead of the cut-off date. This may not make much difference to buyers who have something to sell; however, anyone who is moving to a more expensive part of the country has had more of an affordability issue. It has also left first-time buyers reaching deeper into their pockets – or their parent’s bank accounts – to be able to fund their first home.
Motivation
This has not put people off moving, as conveyancing solicitors London and local estate agents are reporting an increase in business since the summer. This is partly because many people have decided that they want to move out of the capital and buy a property with more land; after all, working from home means they no longer have to be within commuting distance of London.
Once things have settled down post-pandemic, the charging structure for conveyancing and estate agency fees is likely to see an increase.
