The state of this week’s property market is discussed by Iain McKenzie and Chris Watkin – watch now
The housing market has been in a state of flux in recent years, with home sales declining as prices drop and completions are delayed. This has been a difficult time for many homeowners and buyers, as the market is no longer as stable as it once was.
The main reason for the decline in home sales is the drop in prices. Home prices have been falling steadily since the 2008 financial crisis, and this has caused many potential buyers to be hesitant to purchase a home. The uncertainty of the market has caused many people to wait for prices to stabilize before making a purchase.
Another factor contributing to the decline in home sales is the delay in completions. Many home buyers are waiting for their homes to be completed before they can move in, but due to construction delays, this process is taking longer than expected. This has caused many buyers to back out of deals, or to wait until the completion process is finished before making a purchase.
The decline in home sales has had a ripple effect on the economy, as fewer people are buying homes and fewer construction projects are being completed. This has led to a decrease in employment in the construction industry, and a decrease in economic activity in general.
The good news is that there are steps that can be taken to help stabilize the housing market. Governments can provide incentives for buyers to purchase homes, such as tax breaks or subsidies. Banks can also provide more flexible financing options for buyers, which can help them make a purchase even if they don’t have a large down payment. Finally, construction companies can work to speed up the completion process, so that buyers can move into their new homes sooner.
The decline in home sales as prices drop and completions are delayed is a difficult situation for many people, but there are steps that can be taken to help stabilize the housing market. With the right incentives and policies in place, the housing market can once again become a stable and prosperous part of the economy.