COVID & The Property Industry
MACE DAVIES ~ BLOG
2020 is a year we won’t forget in a hurry! It certainly has been challenging for a lot of people. Some have lost loved ones; jobs and income and many small businesses have suffered great losses that they may never recover from – poverty in the UK is suddenly very real for a lot of people.
So, what has the impact of COVID been on the property industry?
Many have taken advantage of the Stamp duty Holiday causing a boom in the market. In contradiction, tenants who are unable to pay their bills caused a loss in rental income for private landlords, who, in addition could not evict tenants for non-payment of rent.
Commercial landlords have also seen losses on their investments as tenants have been unable to conduct their business for months, struggling to pay bills and maintain their livelihoods. Longer term, will there be a need for expensive office space when most of the population have spent months on end working from home?
Construction during the pandemic was seen as vital and therefore did not stop. At the peak of the Pandemic the construction industry had 41% of staff on furlough, however, unlike most industries this rapidly reduced to 29% by May as sites were made safe by early April allowing construction to continue.
Like many SME’s, Mace Davies was impacted by COVID Initially. Back in Lock Down 1, we were unable to visit occupied properties and relied on undertaking surveys of empty residential dwellings and commercial units. Since the reopening of the Housing market back in May 2020 and the Government announcing the stamp duty holiday, we have been very busy undertaking RICS Home Surveys. We have also noticed an increase in the number of Party Wall enquiries, where lockdowns have encouraged people to proceed with planned extension works. Sites continue to be developed and the industry appears to be recovering well, despite another lockdown at the start of 2021, hopefully this will be one step back to take two steps forward!
If you have any surveying needs, contact Chris at Mace Davies.