October market comment
If anyone thinks that the confusing political shenanigans of the past few weeks have destabilised the property market, they’d be wrong. If anything, we are seeing more “lubrication” in the market, as sellers realise they’d be foolish to hang on for an overly ambitious sale price in the run-up to Christmas. This in turn has freed up the market, with more undecided sellers committing to moving, as there now appears to be more choice of properties available for sale. Indeed, Rightmove reports a 16% jump in new properties coming to market in the first week of September.
In support of this increased buoyancy the Royal Institute of Chartered Surveyors reports a “broadly stable” housing market, once again emphasising the wonderful “Keep Calm and Carry On” mentality of the British!
Asking prices are “behaving”, with the price of newly marketed properties for the last reported month averaging a 0.7% increase. This is broadly in line with the medium-term average for September, although the annual 1.2% is somewhat subdued. Of course, asking prices do not always reflect actual sale prices, which will be a more accurate barometer of the market in the coming months. But the signs are good.
In terms of sales volumes, the prime London market (over £750,000), which can be seen as an indicator of confidence levels overall, is finally improving with a jump of 6% over this time last year, as previously stretched buyer affordability ratios are now levelling out. Everyone knew London was overheated!
The Land Registry figures show an annual 3.1% increase in UK house prices, the lowest for five years, which can only lead to continued sense and stability in the market.
Whatever your plans, please regard Salters Residential as your local property expert in property, and call me, Alan Salter for advice on 01923 901777 or 07798 650856 before you make a move. I know what I’m talking about and offer straight-talking, good advice with a smile, to anyone who’ll listen!
