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27
MAR
2020

Coronavirus: People urged not to move house

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From the BBC:

The government has urged people not to move house to try to limit the spread of coronavirus across the UK.

Buyers and renters should delay moving while emergency stay-at-home measures are in place, it said.

Its comments come amid reports banks are pressing for a full suspension of the UK housing market.

Lenders are concerned about the effect of the pandemic on valuations, according to the Financial Times.

Banks are also worried about granting mortgages during this period of extreme economic uncertainty, the FT said.

The government said that while there “is no need to pull out of transactions”, “we all need to ensure we are following guidance to stay at home and away from others at all times”.

If a property is vacant, people can continue with the transaction, although they must ensure they are following guidelines with regards to home removals.

But if the house is occupied “we encourage all parties to do all they can to amicably agree alternative dates to move”.

In response to the crisis, UK Finance, which was formerly known as the British Bankers’ Association, said lenders would extend mortgage offers for people who were due to move house during the lockdown.

“Current social distancing measures mean many house moves will need to be delayed,” said UK Finance chief executive Stephen Jones.

“Where people have already exchanged contracts for house purchases and set dates for completion this is likely to be particularly stressful.

“To support these customers at this time, all mortgage lenders are working to find ways to enable customers who have exchanged contracts to extend their mortgage offer for up to three months to enable them to move at a later date.”

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