New housing market boom as one-in-five want to buy this year

Results of a study of 2,000 adults suggest that almost one in five of them want to buy or invest in property this year.

Overall some 18 per cent of adults questioned intend to buy a property this year rising to 34 per cent of 18 to 34 year olds. 

Broken down, some 14 per cent of current renters plan to buy their first home in 2022 while 14 per cent of existing homeowners plan to move and six per cent plan to purchase an additional investment property.

The study - from bridging lender MFS - shows that of those planning to buy a property this year, 43 per cent say they will look in a different area to where they currently live because the rise of remote working means they do not need to be in the same location. 

Half want a property that has more space as the pandemic means they spend more time at home.

Two thirds of prospective homebuyers are worried about inflation and rising house prices, which they say will hinder their chances to buy in 2022. 

Further, 38 per cent said that the complexities and long waiting times involved in getting a mortgage are a major challenge when looking to buy a property.

Paresh Raja, chief executive, says: “Our research … underlines the challenges that stand in front of prospective buyers. The so-called ‘race for space’ means that competition for certain properties – such as houses with gardens and spare rooms for home offices – will be fierce. 

“Meanwhile, rising inflation, the potential for further interest rates hikes, and delays in securing mortgages, could also act as stumbling blocks for those looking to buy property.”