New research from Clydesdale and Yorkshire Banks shows that confidence in UK real estate has reached a 3 year high.
The latest Annual Housebuyers Survey by the Banks showed that 24% of respondents plan to update their property either through extending it or carrying out improvements, while 14% plan to sell their property in the coming year.
The survey shows that many homeowners are considering their finances with 11% planning to pay off their mortgage, make overpayments or re-mortgage in the coming year.
Steve Fletcher, Head of Clydesdale and Yorkshire Banks Retail Network, said: “We have seen optimism returning to the property market over the last few years and this seems to be growing with more people planning house changes whether it is to move, make home improvements, pay off their mortgage or even help a family member to get onto the property ladder.”
Rising confidence across the board
The findings, which were taken from a sample of 1,195 UK homeowners, show a consistently improving picture in the 3 years since homeowners were first asked about confidence levels.
Back in 2013, 62% of respondents stated that they planned to stay in their current home. This figure decreased to 58% a year later and dipped to 41% in 2015.
Men appear to be more optimistic with 50% of those surveyed expecting an increase in UK real estate values compared to 38% of women. Rising demand and rising prices in local areas have been cited as reasons behind homeowner confidence.
Confidence in the market has been spurred on by rising house prices. Optimism in the market can be seen in the survey’s findings with 44% expecting the value of their property to increase, while 54% think it will remain the same.
Highlighting the confidence in the market, findings from the Council of Mortgage Lenders shows that 2014 lending levels surpassed 2007 highs.