The Government had previously restricted activity in a bid to reduce the spread of Covid-19, locking many movers in a stagnant state. Under new guidelines, key activities relating to moving home will be permitted but what are the changes and how might they affect you?
What are the new changes?
On Sunday the 10th of May, 2020, Boris Johnson announced that the Government was now taking the initial steps to restart the economy, which has suffered a 2% decrease in GDP, its biggest quarterly fall since 2008.
The new guidance from the Government actively encourages those who can return to work safely, in alignment with social distancing measures, to do so.
Under amendments to the Health Protection (Coronavirus, Restrictions) regulations in England, a reasonable excuse for being away from home will be expanded to include:
Visiting estate or letting agents
Viewing residential properties
Preparing a residential property to move in or sell
What is the Government's advice regarding home moving and property viewings?
The official Government website states that:
“The process of finding and moving into a new home will need to be different given those involved in the process will have to adapt practices and procedures to ensure that the risk of spread of coronavirus is reduced as far as possible.
This will include doing more of the process online, such as virtual initial viewings; vacating your current property whilst other people are shown around; and ensuring your property is thoroughly cleaned before someone else moves in.”
To minimise the spread of Covid-19, it’s important to ensure Government guidelines are followed, which also include maintaining a 2 metre distance from others, washing hands with soap and water often for at least 20 seconds or using hand sanitiser gel if soap and water is not available.
For further information and a detailed list of the new changes, refer to the official Government website.
How will the new changes affect the property market?
Removal companies, conveyancers and estate agents can now restart their businesses with immediate effect, which could be good news given that the Government estimated that more than 450,000 buyers and renters had been unable to progress their plans to move since March.
It is hoped that the new guidance and easing of restrictions will now allow many patient purchasers to proceed with their move.
Surprisingly, Rightmove have reported a 20% surge in website traffic compared with the first few days of lockdown, suggesting an influx of interest in buying property.
The easing of restrictions will now allow these potential purchasers the opportunity to view properties, as long as Government advice and social distancing measures are adhered too.
Do the new changes affect my ability to get a mortgage?
Your ability to proceed with a mortgage application and subsequently a property purchase, could depend on a variety of factors including:
The size of your deposit
The amount of mortgage you want to apply for
Vague advice should never be relied upon as this can lead to misinformation, delays in your application and in some circumstances, a mortgage rejection.
For advice specifically related to your situation, speak to a mortgage professional who can assess your circumstances, recommend your next steps and guide you through the process.
What do these changes mean for The Mortgage Hut?
Our brokers have the technology and experience they need to find you the best mortgage deals and are therefore continuing to work from home.
Therefore, The Mortgage Hut remains open for business, providing expert advice on mortgages including:
Call us on 02380 980304 or if you’d prefer, message us via our online chat. We provide a complete level of advice and support, designed to find you a bespoke mortgage deal that works for you.