The pandemic saw people looking to move from city centres and urban areas in the ‘race for space’ as it was coined. People had found that as they were forced to work remotely they wanted more space and close proximity to work was no longer so essential. Additionally people weren’t able to mix freely and city centres lost some of their lustre for this reason.
This trend is now very firmly in reverse with coastal areas and rural towns seeing large drops in demand, in some locations, such as Shrewsbury, by as much as 10%. Conversely Zoopla report that demand has spike hugely for smaller properties such as one and two bed apartments as people return to city centres in droves.
The cost of living crisis is also having an impact, with renters increasingly looking for smaller more energy efficient properties. Renters are also looking to reduce travel costs and city centre properties are often walking distance or a short bike ride from the office.
Looking ahead into 2023 urban areas and apartments are expected to outperform the rest of the UK market. Specifically Savills see the North West as being the area most likely to see the highest price rises over the next 5 years.
To discuss this further please contact one of our expert team.
