2019 was a turbulent year for the housing market, often filled with uncertainty due to the looming potential impact of Brexit and increasing regulations in areas such as sustainability and safety. As the year draws to a close, we take a look ahead to what the housing outlook looks like for 2020.
House prices will increase, with the biggest jump in the North West
With uncertainties surrounding Brexit it is difficult to predict how house prices will fare next year. However, following a slump this year, they are expected to gradually climb next year and continue rising every year until 2024. The biggest growth during this five-year period is expected to be in the north-west at 24%.
Commercial construction projects to increase in London
London has been successful in the commercial office sector this year, with the average value of a new office project having increased by 16%. This figure is set to rise next year. A high amount of planning approvals, particularly in London, should also mean more construction activity will be taking place in 2020 and into 2021.
Urban mobility will become a key consideration
According to a report by Emerging Trends Europe, 80% of property investors say that they now consider the mobility and infrastructure design of an area when making an investment decision. This is likely to increase the popularity of mixed-use developments, which are designed to make it easier for people to travel between their homes and work by providing effective transport solutions
More people will purchase eco-friendly homes
There is expected to be a shift away from period properties towards more people buying eco-friendly homes from next year – particularly among younger buyers. Not only is this demographic more environmentally conscious but they also appreciate the financial benefits to be gained by conserving heat and power.
Growing demand for areas with a community-feel
People are increasingly looking to live in areas that offer a better work/life balance, with close proximity to parks, independent shops and cafes that foster a small-town community feeling. Alongside good public transport options, this is another key consideration for developers going into 2020 and beyond.
Regent Land & Developments is a specialist developer of brownfield sites for residential and mixed-use land-led schemes across London and the South East. Find out more about what we do.