September 2015 Market Report
24th September 2015
According to both HM Land Registry and Rightmove, house prices do not appear to have changed significantly from this time last month. This does not mean that the market is stagnant – far from it! It is more likely to suggest that the market is effectively in balance – with no particular bias in favour of either supply or demand, although there are still far more registered buyers than there are seller.
A rise or fall in property values always accompanies a time of change. We find ourselves in a very stable environment that is far removed from the talk of boom and bust. The financial regulators have certainly achieved their aim of moderating the supply of mortgages and improving responsible lending. So the usual market forces are currently playing a relatively lightweight role in influencing values. Today’s market is made up of real people who simply need, or want, to move house for genuine lifestyle reasons.
Indeed, volumes (at 300,410 in the last quarter) are 28% lower than the panic selling peak of the same quarter in 2007. That market was fuelled by talk of falling prices but it leveled to a point where people simply refused to sell if they could not achieve their price. To some extend that is where it has remained ever since, despite gains in actual property values, but for other reasons.
For example, the tighter mortgage regime means that many are effectively trapped in their home because their existing cheap mortgage can not easily be transferred to another property.
Nevertheless, the summer months are now behind us and many buyers, encouraged by continued low interest rates and strong employment figures, are now beginning to consider a move this Autumn. If they in turn have somewhere to sell, then now would be an excellent time to bring that property to market, bringing some welcome lubrication to the supply chain.
Needless to say, whether you’re buying or selling, please do contact us for free and up-to-the-minute marketing advice, as our job is to use our acute understanding of the local property market to maximise your sale prospects.