Around seven in 10 brokers (69%) operating in the specialist lending space think the “race for space” is not yet over, according to a poll undertaken by TAB.

The short-term property finance lender polled the views of brokers in the industry at an event to mark the opening of its new HQ in Hertfordshire.

While 23% of brokers said the race for space was either “definitely” or “probably” over, the vast majority said it was not, with the remaining 8% of brokers indicating they were unsure.

TAB founder and CEO, Duncan Kreeger, said that the pandemic had driven a race for space in late 2020 and early 2021, “boosting outlying suburbs” while city centre residential rents fell.

“In the last quarter of 2020, flats in London were taking 20% longer to rent than they had before the pandemic – while the time taken to rent houses in the capital fell by over 10%,” Kreeger commented.

“Then, in the first three months of 2021, home movers flush with housing equity left first-time buyers trailing as the drivers of the UK housing market, as the race for space led to a switch in the long-term balance of demand.

“I didn’t expect that to last until now. A year down the line and brokers are telling us this trend is still dominating the market. The move to home working during the pandemic loosened ties to the office and emerging hybrid working conditions are making distant suburban and more rural living more possible. Buyers with savings are targeting bigger properties with more outdoor space.”

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