Despite the uncertainties of the Covid 19 pandemic, the Bristol property market enjoyed a buoyant 2020. Analysts initially predicted that the pandemic would slash prices by 20 per cent. In reality prices outperformed 2019, hitting record highs in some parts of the city. According to Rightmove, UK house prices in 2020 were up 6.6% on 2019. Bristol enjoyed positive growth, with an average 4% rise in prices. Will 2021 be the same? Continue reading to find out.
With regards to the how the Bristol property market will perform in 2021, some uncertainties remain. Though nearly 1/3 of the UK population will be vaccinated by May, almost 5 million working adults are still furloughed with the scheme due to end this year. Factors such as the stamp duty relief and desire for homes with space supported sales throughout 2020. Though the former will most certainly come to an end, the latter will likely endure.
Alhough there are uncertainties around the economy, Rightmove predicts housing needs, and a "fresh-start mentality" will result in the local property market outperforming the economy. Indeed, the property portal has forecasted prices to grow by 4% nationally in 2021.
The average house price in Bristol sits just above £300,000 and prices 0are up 4% on the previous year. There’s likely to be a slight dip in sales following the stamp duty holiday. However, its removal should not cause a shock to the market, particularly as the highest saving is just £15,000. Therefore, at most the removal of stamp duty relief may lead buyers to reduce their offer to compensate for the tax. Many sellers may indeed be already prepared for this.
Cheap mortgage rates throughout 2021 provide some promise for further modest price growth in the next year. Benefits such as stamp duty exemption for first time buyers - many are waiting for the stamp duty holiday to end to reduce competition – will continue.
We can get some indication on how Bristol prices will perform in 2021 by looking at trends throughout the past year. The average property price in Bristol went up 4% in 2020 (approximately £6,500). However, many areas Hydes of Bristol cover saw percentage increases way above this.
Here is a roundup of Bristol’s best performing property locations tipped to grow in 2021.
The leafy suburb of Sneyd Park which lies on the western fringe of Clifton Down, is one of Bristol’s most desirable neighbourhoods. Property prices in this popular spot went up on average by £13,975 in 2020, bringing the average price paid for a home to £796,000. This is likely because the area has a limited housing stock, with large detached houses of generous proportions. Due to demand often outweighing supply in this coveted area, prices are likely to increase in 2021.
Properties to buy in Sneyd Park
The affluent suburb of Redland, located next to Clifton, was another property hot spot in 2020. Average prices in this area increased by £13,046 in 2020. The area is often regarded as a popular location thanks to its spacious family homes, great amenities and highly regarded schools. The average price paid for a home here was £572,000. This is expected to increase even further in 2021.
Properties to buy in Redland
The elegant and fashionable neighbourhood of Clifton is often regarded as the jewel in Bristol’s crown. Generally prices always perform strongly here, with an average house price higher than the city average. Prices increased on average by £12,447 in 2020, proving Clifton continues to attract buyers. The average price paid for a home here was £535,877. Considering Clifton enjoys positive growth year on year, 2021 is set to be no different.
Properties to buy in Clifton