The COVID-19 pandemic significantly changed the way how many people work, with a majority of them working remotely from their homes. That shift for the past two years has led to changes in the perceptions UK professionals and residents have about the real estate market. Their expectations from homes and their priorities in investing in certain types of property have seen a change. Therefore, this article will explore the impact of working remotely on UK real estate.
The Shift in Preferences among Homebuyers
Many homebuyers in the UK have started to look at the value of property differently after the effects of working from home during the pandemic. Their homes were both personal and professional spaces, and two-fifths of UK professionals don’t intend to return to work from a dedicated office, according to The Times. In addition to that, 71% of professionals preferred to work from home instead of an office, and 58% claimed to be more productive at home. Therefore, working from home is an important consideration when buying a home for many people in the UK, as explained in greater detail below.
A Dedicated Space for a Home Office Has Started to Become a Priority for Some
According to the market research conducted by FJP Investment, 27% of homeowners in the UK want a dedicated space in their homes to create a home office. 23% of homeowners explained how working remotely had changed their priorities when considering a home to buy. This sentiment was also expressed by 44% of the youngest people surveyed.
Adequate Indoor and Outdoor Spaces Have Become a Priority
The research also detailed how the need for adequate indoor and outdoor space was a priority for many of the respondents. Therefore, access to private gardens or similar outdoor spaces was considered important by 44% of the people surveyed. In addition to that, over a quarter of respondents (26%) also started to take more interest in the square footage of properties.
What These Changes in Perception Will Mean for the US Real Estate Market
The impact of working remotely on UK real estate and the shift in priorities will mean that property developers will need to renovate and innovate existing and new projects to cater to the buyers’ expectations, particularly that of the younger generation. This renovation and innovation will not only have to be done for residential property.
The demand and supply of commercial property will also see a shift due to the prevalence and preference of working remotely for a considerable amount of the workforce. Therefore, certain commercial spaces may be repurposed as residential property to meet the changing needs of professionals in the UK.
Last Few Words
Property investors will also need to keep this shift in mind as the value of commercial property may not be as stable as residential property if one were to only consider the impact of working remotely on UK real estate. That said, time and more research on the market will help guide investors to make intelligent decisions with their investments.