The latest Property Tracker survey from the Building Societies Association, reveals consumer confidence in the housing market remains strong in Wales.
There’s a growing expectation across the nation that house prices will rise, although less people in Wales expect further growth (45%) compared to the UK average (50%).
And whilst less than a third of people in the UK (30%) think now is a good time to buy a property, in Wales that jumps to 37%.
For the first time in nine months, raising a deposit returns as the biggest barrier to buying a property in England (60%) and Scotland (57%). However, in Wales job insecurity continues to be the greatest concern (51%), with raising a deposit being cited as a barrier to less than half of respondents from Wales (45%). This shows that there are still a considerable number of people in Wales who do not feel confident about their long-term employment prospects.
With this in mind the BSA is calling on the government to urgently reduce the wait time for the DWP Support for Mortgage Interest (SMI) loan, so that struggling homeowners can get timely access to this extra safety net.
Commenting, Paul Broadhead, Head of Mortgage and Housing Policy at the BSA said:
“These latest results demonstrate how the housing market recovery following the impacts of the Covid-19 pandemic differs across the UK.
“There’s no doubt that the government support measures introduced over the last 12 months, such as the Stamp Duty holiday, have been key drivers of the confidence we see. It does however appear that the market will remain buoyant as these incentives come to an end.
“Whilst there are a number of encouraging signs demonstrating confidence in the housing market, it’s important to note that over half the respondents in Wales have concerns around their job security. It’s clear that there are many people for whom the pandemic continues to have a negative financial impact and it’s important, both for lenders and government, to ensure that appropriate safety nets are available to give households the support they need, when they need it”
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