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Unprecedented seems to be the buzz word of the year, but there really is no other way to describe the upheaval the first six months of 2020 brought with them. This was evidenced across the world and throughout every economy, but as we finally see a light at the end of the tunnel and things start returning to ‘normal’, what lingering effects from this upheaval are we likely to see?

The UK housing industry has been hit hard by COVID-19. An industry that has been plagued by a continuing affordability crisis, house builders were already feeling the pressure to deliver on tough housing targets before the pandemic hit – but with house building grinding to a halt during the UK lockdown and numbers of new builds reaching record lows, the crisis doesn’t look like it’s going anywhere soon.

As the UK begins to open up again, demand for new homes has started to rise with some areas of the UK reporting house sales returning to pre-lockdown levels – this is good news for those in a position to buy or sell, however for those still struggling to get a foot on the property ladder, or who may be struggling to keep a roof over their head as a result of the pandemic, things may not be looking so positive.

Demand for housing may be increasing across the country, but the number of homes available is still falling far short of the mark, and until this shortfall is addressed, we’re likely to see the affordability crisis continuing for months and years to come.

If house prices continue to rise in the UK, we are also likely to see an increased number of people pushed off the housing ladder and instead forced to rent privately or rely on social housing. This, coupled with those who may have lost their homes due to COVID-19, could put increased pressure on the social housing market in the UK which becomes a problem all of its own.

As an industry, we need to focus on getting more homes built, and fast. By embracing more modern methods of construction as standard throughout the industry, we could see an uptick in the number of new homes built in 2020 and alleviate some of the pressure currently being placed on a recovering market.


This article is for educational purposes only and does not constitute investment advice. This article does not amount to an invitation or inducement to buy or sell an investment nor does it solicit any such offer or invitation in any jurisdiction.

In all cases, readers should conduct their own investigation and analysis of the data in the article. Readers are strongly encouraged to seek independent legal and financial advice when considering an investment in strategic land. All statements of opinion and/or belief contained in this article and all views expressed and all projections, forecasts or statements relating to expectations regarding future events represent Intro Crowd’s own assessment and interpretation of information available as at the date of this article.

No responsibility or liability is accepted by Intro Crowd for reliance on the contents of this article.

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