As property market specialists, we are keen to provide you with comfort and confidence as to what will happen next in the market. It is impossible to state with any great confidence what is going to happen, but you can make an informed decision. There are many things worth considering when reviewing the property market, and the House Price Index is worth examining if you have an interest in buying or selling property.
There is optimism in UK housing market
The figures released in January indicate there is a 2.3% increase in new seller asking prices. This is the largest increase Rightmove has found since the House Price Index began in 2002. The biggest January increase before this period came in 2015, when growth of 2.2% was recorded. The annual rate of increase is recorded as 2.7%, and this is the biggest level since 2017.
Miles Shipside is a Rightmove director and housing market analyst; and he said; “Whilst a substantial rise is the norm in January, buoyed by the start of a new year, this is the biggest new-year price surge that we have ever recorded. However, it is still a price-sensitive market, with stretched buyer affordability, so sellers should be careful not to get carried away with their pricing and miss out on this window of increased activity. One factor behind the upwards price pressure has been the shortage of property coming to market in many areas of the country, with some would-be sellers postponing their moves until they judge the outlook to be more certain.”
There is hope for political stability
It is easy to see why people feel optimistic about the market at this time. Political uncertainty has been a crucial factor in the property market underperforming. We still need to see what happens with Brexit and the March Budget, but there should be more political stability than there has bene in the past decade,
Miles Shipside continues by saying; “While there may well be more twists and turns to come in the Brexit saga, there is now an opportunity for sellers to get their property on the market for a spring move unaffected by Brexit deadlines. For those who can afford to move and have been putting it off, now would appear to be a good time to get a view from a local estate agent on their property’s value, and a mortgage quote for the great fixed-rate deals that are currently available.”
The number of first-time buyers stepping on to the market in the past year has been promising. There will be challenges for this market this year, but the Government should take steps to help these buyers afford and find a home.
If you plan on making a move this year, please contact Austin Property Services. We can arrange a property valuation for you, and we look forward to assisting you through the process. We believe 2020 will see an increased number of buyers and vendors in the housing market, and we are here to help you.