Housing Market Bulletin - STOCKPORT HOUSING STRATEGY
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STOCKPORT HOUSING STRATEGY
Housing Market Bulletin
Issue 50 – Mar 2021
Housing Market Overview
The UK property market is continuing to enjoy a boom since reopening after the first lockdown with UK house prices
rising at the fastest annual rate since October 2014. Whilst the data from the land registry for the period covering the 3rd
national lockdown which commenced on 4th January 2021 is not yet available, it is expected that the market would see a
sharp decline in activity until the lockdown measures are gradually eased from March 2021.
HM Land registry data shows that prices grew by 8.5% over the year to December 2020 resulting in the average house
price of £269,150. In Stockport, average house prices grew by 8.4% over the same period and the average property price
now stands at over £252,000. The number of properties sold in the three months to October 2020 increased to 1107
compared to 684 in the previous three months (an increase of over 60%).
In the Budget announced on 3rd March 2021, the Chancellor extended the stamp duty holiday to June 2021, a move
designed to bolster the housing market after the Prime Minister unveiled a phased exit plan from Coronavirus
lockdowns. A mortgage guarantee scheme to help first time buyers with small deposits get on the property ladder was
also announced. The government will offer incentives to lenders, bringing back 95% mortgages which have reduced
drastically during the pandemic. It is hoped that these measures together with the record low interest rate of just 0.1%
will help ‘prop up’ the housing market when the country finally emerges from the national lockdown and on the path to
economic recovery.
The UK's unemployment rate rose to 5.1% in the three months to December, up from 4.8% in the previous quarter, as
coronavirus continued to hit the jobs market. This is the highest figure for five years and means that 1.74 million people
were unemployed according to the Office for National Statistics (ONS). Firms made more workers redundant in
anticipation of the end of the furlough scheme, which was originally supposed to finish at the end of March but has now
been extended until the end of September 2021. Analysts have stated that the extension had come "too late in the day" to
save some jobs and further big rises in unemployment are likely in the coming months. It is widely predicted that the
unemployment rate will reach a peak of around 8% towards the end of 2021. The claimant count however, has
decreased slightly from December 2020 to January 2021. In Stockport the number of people claiming Job Seekers
Allowance and Universal Credit decreased by 3.1% (325 claimants) compared to a 1.1% decrease across GM and 1.5%
decrease across the UK.
The Secretary of State for Housing, Communities and Local Government announced in February 2021 that private
renters will continue to be supported during the ongoing national lockdown restrictions, with an extension to the ban on
bailiff evictions. The ban, which was introduced at the start of the coronavirus outbreak, has been extended until 31st
March 2021, with measures kept under review in line with the latest public health advice. However, exemptions will
remain in place for the most serious circumstances such as illegal occupation, anti-social behaviour and arrears of six
months’ rent or more. Landlords are also required to give a 6-month notice period to tenants before starting possession
proceedings, except in the most serious circumstances, meaning that most private renters now served notice can stay in
their homes until at least August 2021, with time to find alternative support or accommodation. For those who require
additional support, there is an existing £180 million of government funding for Discretionary Housing Payments for
councils to distribute to support private renters with housing costs. Despite these measures of support, concerns still
remain that that when these measures are lifted the number of evictions and pressures on the Council’s homelessness
services will increase.
The number of private rented properties available for let has reduced significantly since the start of the Pandemic from
575 in March 2020 to just over 300 at the end of February 2021 representing a drop of around 48%. This is of
significant concern for private renters and is pushing the rent prices even higher.
Stockport Homes (Viaduct Partnership) and partner Registered Providers are progressing with the delivery of a number
of affordable housing schemes in the Borough, despite reporting some delays in procuring materials due to the
lockdown and the impact of Brexit. Sales of shared ownership properties have also slowed primarily due to the
reluctance of lenders to provide mortgages in the current economic climate. Since the last bulletin, Stockport Homes
have completed schemes at Hexham Close (24 units), York House (25 units), Davenport Park (39 units) and are nearing
completion at Melford Rd (87 units), Booth St (47 units) and Hempshaw Lane (144 units). A number of other sites are
1also being actively worked on by Stockport Homes and Partner RPs to be on site later this year.
As reported previously, the Pandemic has had a direct impact on homeless presentations and is reflected in the reduction
of presentations during the national lockdowns. It is expected that the number of presentations for the last quarter of
2020/21 (Jan 21 to March 21) will be lower than what would otherwise have been received at this time of the year.
Concerns remain that when government restrictions on PRS repossessions are lifted, there are likely to be increased rent
arrears, increased actions for possession, and increased pressures on homeless and housing options services.
Housing Market Statistics
Source: HM Land Registry Feb 2021 - NB Sales volume data for the two most recent months are not used by HMLR as comparisons
due to the lag in the registration of sold properties
Actual average sale prices by postcode sector for the Quarter 4
Oct 2020 to Dec 2020
Overall Total
Detached Sales Semi-det Sales Terraced Sales Flat/mais Sales average sales
SK1 £207,000 1 £177,400 5 £151,718 14 £72,000 3 £149,307 23
SK2 £387,622 16 £240,967 40 £202,188 21 £143,000 1 £259,354 78
SK3 £0 0 £267,436 42 £169,742 31 £154,250 4 £222,225 77
SK4 £443,047 19 £379,536 43 £268,999 30 £170,339 19 £324,724 111
SK5 £341,000 1 £194,644 31 £149,903 33 £0 0 £174,181 65
SK6 £417,972 47 £271,012 76 £199,877 35 £157,750 14 £287,476 172
SK7 £585,835 73 £312,346 56 £229,000 16 £226,885 13 £423,233 158
SK8 £474,482 60 £321,689 77 £248,398 41 £181,812 12 £345,290 190
Total 217 370 221 66 874
Key
SK1: Town Centre/Hillgate/Portwood SK2: Davenport/Heaviley/Great Moor/Stepping Hill/Offerton
SK3: Shaw Heath/Adswood/Cheadle Heath SK4: Heaton Moor/Heaton Mersey
SK5: Heaton Chapel/Reddish/Brinnington SK6: Bredbury/Woodley/Romiley/Marple
SK7: Bramhall/Woodford/Hazel Grove SK8: Gatley/Heald Green/Cheadle Hulme
2Source: HM Land Registry Feb 2021
Source: HM Land Registry Feb 2021
3Town Centre
Mortgage Repossession Statistics
FCA announcements and the passing of the Coronavirus Act in March 2020 means that
possession actions of all types have dropped to unprecedentedly low levels. Mortgage
possession figures have dropped significantly, with claims, orders, warrants and
repossessions all dropping by more than 96% in comparison to October-December 2019
The Ministry of Justice has not published Q2 and Q3 data for mortgage repossessions.
Charts for Stockport will feature in future publications when normal services are resumed.
Rented Housing Market
Average rent levels (Per Week) as at Feb 2021
Registered Stockport Private Sector
Providers Homes (ALMO) (Feb 2021)
Flats 1/2 beds 81.91 67.59 151.52
Terraced Houses 89.02 83.57 179.53
Semi-Detached 103.45 94.55 207.78
Detached n/a n/a 289.91
Source: Stockport Housing Partnership/Stockport Homes Ltd / Private Lettings
Agencies/Rightmove Website
4Source: Rightmove website – Feb 2021
WEEKLY PRIVATE RENT MONITOR (Average Rents)
5Since the start of the Pandemic the Council has been conducting monthly surveys with
landlords in its database to monitor the impact of the pandemic on the private rented sector.
The percentage of tenants in arrears increased to 23% in May2020 during the first lockdown
but has since dropped to levels seen prior to the pandemic at around 12% in January 2021.
6Homelessness Statistics
Quarterly Change
Oct 20 – Dec 2020 (From Jul 20 –
Sep 20)
Number %
Homelessness Presentations 388 427 -9.10%
Homelessness Presentations owed full -
84 129
duty 34.90%
Source: Stockport Homes Jan 2021
7Key Economic Indicators as at 1 Mar2020 Empty properties in Stockport as at
28th February 2021
Current Bank of England Base Rate:
0.1 % Empty for more than 24 months:
574
Current Inflation Rate (CPI):
0.7 % (RPI: 1.4%)
Government Target Inflation Rate (CPI):
2.00 %
(Source: ONS)
Source: Stockport Council
Contact Us :
Tel: 0161 474 4390
E-mail : housing.strategy@stockport.gov.uk
Housing Strategy Team
Place Directorate - Strategic Housing
Stockport Metropolitan Borough Council
Stopford House
Piccadilly
Stockport
SK1 3XE
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