UK homebuyers are placing greater value on properties in good condition, favouring homes that are ready to move into over those requiring refurbishment, according to new research from specialist lender Market Financial Solutions (MFS).
The lender’s latest Homebuyer Wishlist survey – conducted among 2,000 UK adults, including 916 prospective or recent buyers – reveals a shift in purchasing priorities amid elevated borrowing costs and economic uncertainty.
This year, 79% of buyers identified the quality and finish of a property as an ‘important’ or ‘very important’ factor – making it the top consideration overall, up from fourth place in the same survey a year earlier.
In contrast, the potential for extensions or conversions has slipped to the bottom of the priority list, with just 56% of respondents now citing it as important.
PREMIUM ON CONVENIENCE
The findings suggest that homebuyers are placing a premium on convenience and certainty, as the costs of financing, labour and materials continue to weigh on the appeal of renovation projects.
Paresh Raja (main picture), Chief Executive of Market Financial Solutions, says: “Our ‘Homebuyer Wishlist’ survey monitors how the wants and needs of UK property buyers evolves over time. The standout finding this year is that there is an increased desire for properties in a good condition.
“Buyers are perhaps seeking stability and predictability.”
“With borrowing costs still above the levels seen from 2008 to 2022, buyers are perhaps seeking stability and predictability, favouring homes that are ready to move into rather than those needing renovation or refurbishment. Any ‘doer upper’ brings uncertainty, particularly when it comes to the cost of materials and labour, as well as the potential for delays, which can present challenges from a financing perspective.”
He adds “But as ever, we have to appreciate that all homebuyers are different. Some will relish a project, others want the turnkey option.
“As lenders, we must double down on optionality when offering flexible, fast finance that allows buyers to act with confidence when the right property becomes available.”
MARKET FINANCIAL SOLUTIONS HOMEBUYER WISHLIST
Source: Market Financial Solutions
