Confused by the UK Housing Market?

House prices have risen considerably in the last couple of years, with the pandemic and stamp duty holiday bringing about a more volatile market.

• UK property prices have been volatile in 2023 and the latest data from Nationwide’s house price index shows house prices in England fell 3.4% in the year to May. Almost 18% of homes currently listed for sale on the internet have had their asking price cut by more than 5%.  Demand from buyers has fallen in recent months, which has caused the housing market to cool off. The number of prospective buyers is down 30% from this time 12 months ago.

BUT there are mixed messages over the true extent of price reductions. 

• The Land Registry says the average price of a property in the UK rose by £11,000 between March 2022 and 2023 - that's a 4.1% year-on-year increase. 
• Rightmove says sellers are taking an average of 55 days to secure a buyer, that's a significant increase from the 31 days recorded back in April last year.

Expert advice for sellers is ‘they should be prepared to be patient as it will be taking a little longer to receive an offer, but with the number of sales agreed remaining constant we know we have some solid and motivated buyers out there.'

The Experts predict house prices will continue to fall from their peak, BUT there are varying forecasts: some forecasts prices will drop by 5% in 2023, and the same amount in 2024. Analysts predict house prices will fall by a total of 12% by mid-2024.

What is much more likely is that the market will continue to transition to a more normal activity level this year following the exceptional activity of the pandemic years, Nationwide’s latest house price index showed prices rose 0.5% during the month of April, breaking a seven month-long negative streak, a “tentative sign of recovery,” 

To make sense of the current Bournemouth Property Market talk to Clarkes .... 2 Decades of open, honest, friendly service.