Property Market Comment

The unprecedented changes that have occurred in the last years, including the war in Ukraine, inflation, cost of living and interest rate rises have dented confidence.

Confidence is paramount to the market and as turmoil has hit from every corner the market has undoubtedly been affected. However, supply and demand are keeping some types of housing and locations buoyant. In a less robust market quality still attains good prices and attracts healthy competition so not all is doom and gloom. In fact, in many areas, especially West Dorset a slight increase in stock levels has led to a thriving market with healthy transaction rates being recorded. The lure of the country and the ‘new’ work from home lifestyle becoming enshrined like never before, many families are taking the opportunity to relocate.

Less properties are going to best and final offers, but they are still not unheard of, and with better predictions for next year, when interest rates may have peaked and begin to find a level, confidence will return, with prices continuing to keep up. A seasoned eye is needed to gauge what price is the right price to pay and armed with due diligence and a steady hand this is a market where good value property, bought for the medium or long term will be looked back upon as good value and a definite buying opportunity!

By late summer the rain may have stopped, and with confidence beginning to return, peoples’ need to move on and live will triumph over the compounded effects of the rising costs of living, inflation, and the increase of mortgage rates which hopefully may have dissipated to some extent. The feeling is that country property will remain highly sought with firm pricing for the foreseeable future. Property is seen as pretty inflation resistant, and although rates have risen, limited stock will maintain prices of quality, and this will not be satiated in a hurry!

Local knowledge, contacts and feet on the ground are therefore key in this challenging market.

So, in order to get the most out of the interesting times ahead it is especially important for buyers to undertake thorough preparation and research. Sound buyers with finances and legal advice in place may well be able to make good advantage of an uncertain marketplace. For further help and advice please do contact me for an informal chat on 07990880164/ 01300 348100.

The unprecedented demand for country homes which began last year, continues apace with many buyers trapped in rented due to continued lack of stock to purchase.

Confidence has returned to markets in buckets loads and although 2021 saw a turbulent year for most, mortgages are still cheap for those who qualify. The lure of the country and the ‘new’ work from home lifestyle becoming enshrined like never before, many families are taking the opportunity to relocate. This, in turn, is closing the price gap between town and country property, which for the last decade or so has made country property look well priced compared to London.

Many people having been confined to their city homes have decided not to wait in relocating to the country, sooner rather than later, so supply continues to dictate pricing. The vicious circle of those thinking of moving, but seeing nothing to move to on the portals, and so not going to market, is keeping supply very thin, and exacerbating prices which have been reaching challenging heights with a huge influx of capital, mainly from south east and London buyers.

Significant numbers of properties are going to best and final offers with purchasers securing them at 10-20% over guide in many instances. Valuers are finding their tasks confused with a lack of comparables and in many cases reality. A seasoned eye is needed to gauge what price is the right price to pay and armed with due diligence and a steady hand this is not a market for the faint hearted!

One hopes by late summer the heat may have started to dissipate, with the compounded effects of the rising costs of living, inflation, and the increase of mortgage rates, but the feeling is that country property will remain highly sought with firm pricing for the foreseeable future. Property is seen as pretty inflation resistant, and although rates are rising, money is still historically cheap to borrow. Limited stock will maintain prices of quality, and this will not be satiated in a hurry!

Local knowledge, contacts and feet on the ground are therefore key in this challenging market.

So, in order to get the most out of the interesting times ahead it is especially important for buyers to undertake thorough preparation and research. Sound buyers with finances and legal advice in place may well be able to make good advantage of an uncertain marketplace. For further help and advice please do contact me for an informal chat on 01300 348100.

Happy New Year! Out with the old and in with the new scarcely seems to apply this year as we re-enter lockdown, Lockdown 3, which could last to Easter!

However the property market is open for business and after a hectic period, with unprecedented demand for country homes last year, following on from Lockdown 1 & 2, it seems there may well be another rush from town to country this Spring, indicating a slightly earlier market as the Stamp Duty holiday nears its end.

With a Brexit deal in place, some confidence has returned to markets, and although 2020 saw a turbulent year for most, mortgages are still cheap for those who qualify. With economic uncertainty looking to continue for the foreseeable future, the lure of the country and the ‘new’ work from home lifestyle becoming enshrined like never before, many families are taking the opportunity to relocate. This, in turn, is closing the price gap between town and country property, which for the last decade or so has made country property look well priced compared to London.

Many people having been confined to their city homes may decide not to wait in relocating to the country, sooner rather than later, so supply yet again will dictate pricing.

Over last summer some record prices were achieved but by and large prices have settled with good quality, property continuing to sell quickly and lack of supply starting to rear its head again.

The age old adage applies more so than ever; quality property, realistically priced, sells well; it also seems that the trend of ‘off market’ sales is continuing to be the preferred way of many Vendors who do not want to commit their property to the open market. Local knowledge, contacts and feet on the ground are therefore key in this challenging market.

In the wider market London prices seem to have steadied in many areas and even in Lockdown foreign buyers are returning. After lockdown it is thought this will continue, and the creation of lots of new money may lead to inflation, which makes bricks and mortar a steady asset class. Borrowing is still cheap, demand is great and supply is strengthening promising a time of opportunity for purchasers and sellers alike.

So in order to get the most out of the interesting times ahead it is especially important for buyers to undertake thorough preparation and research. Sound buyers with finances and legal advice in place may well be able to make good advantage of an uncertain marketplace. For further help and advice please do contact me for an informal chat on 01300 348100.

The B word impasse having come to an end, a majority government ensuring a return to stability, and wider world wide economic optimism should have lead to tentative sellers going to market, after nearly 4 years of uncertainty. This was beginning to kick start supply and satisfy demand. And then came Covid 19 and Lockdown!

The hoped for increase in supply was starting to appear before the country, and the market, went into lockdown.

The predicted V shaped recovery may turn into more of a U, but if the pre-lockdown demand that was present early this year continues the market may rebound quickly. Many people having been confined to their city homes may decide not to wait in relocating to the country, sooner rather than later, so supply yet again will dictate pricing.

Good quality, sensibly priced properties will continue to sell quickly and recently even those properties that have seemed ‘stuck’ are moving due to the increased sense of optimism.

The age old adage applies more so than ever; quality property, realistically priced, sells well; it also seems that the trend of ‘off market’ sales is continuing to be the preferred way of many Vendors who do not want to commit their property to the open market. Local knowledge and contacts and feet on the ground are therefore key in this challenging market.

For now, London prices seem to have steadied in many areas and political optimism has finally trumped Brexit uncertainty. After lockdown it is thought this will continue, and the creation of lots of new money may lead to inflation. Borrowing is still cheap, demand is great and supply is strengthening promising a time of opportunity for purchasers and sellers alike.

So in order to get the most out of the interesting times ahead it is especially important for buyers to undertake thorough preparation and research. Sound buyers with finances and legal advice in place may well be able to make good advantage of an uncertain marketplace. For further help and advice please do contact me for an informal chat on 01300 348100.