Your mid-week update Wednesday 5th August
Revealed: the pandemic's impact on home buyer attitudes globally
2 minutes to read
Virus update
The spread of the virus appears to be easing in some of the US states hit hardest in recent weeks. California reported the fewest new coronavirus cases since June, while Florida and Arizona also saw their infections slow. Germany, Poland and the Netherlands recorded increases in new cases. In the UK, there were 670 confirmed new cases yesterday and the rolling weekly total has crept up slightly, although it remains down significantly on the peaks seen in May.
Tracking the recovery
British new car registrations rose by roughly 11% year on year in July, in the first full month since showrooms opened. The data follows gradual improvements from record lows in consumer spending, job vacancies, retail and hospitality spending. The Bank of England will publish its outlook for the economy tomorrow, with consensus building that it will revise down its May prediction of a sharp recovery to something more protracted.
The impact of Covid-19 on buyer attitudes
We have sought the views of home buyers around the world in order to gauge how attitudes have changed as a result of the pandemic and the results are striking. One in four survey respondents said they were more likely to move home in the next 12 months as a result of the pandemic. The UK, Spain and France top the list of preferred destinations, followed by Australia, Canada, Switzerland and the US. Meanwhile, more than a quarter are more likely to buy a second home as a result of the pandemic.
Rebound in the Cotswolds
These buyer attitudes are already being borne out in some regions. In a new diary of an agent, Chris Druce heads to the Cotswolds, where the wider region has seen the number of offers accepted soar 89% last week compared to the five-year average. There’s a lot of second home activity and some families are flipping: buying a home in the country as their main residence and keeping something small in London, although there remains a shortage of supply.
In other news...
Stephen Springham on the John Lewis plan to turn stores into homes and the flaws in proposals floated for an online sales tax to raise £2bn a year and level the playing field between digital and high street businesses.
Mengjie Shi on the bumpy road to revitalising Asia’s tourism sector.
Also: Sweden’s “light-touch approach” to curtailing the spread of Covid-19 has produced only limited economic benefits; gold barrels past $2,000 an ounce; and why the dollar is down almost 14% against the pound since March.