Annual house price growth eased back to 10.0%, from 11.0% in August. Nationwide predicted that activity in the market is likely to “soften” in the autumn with the end of the stamp duty holiday and furlough.
“But that is far from assured,” Gardner said. “The labour market has remained remarkably resilient to date and, even if it does weaken, there is scope for shifts in housing preferences as a result of the pandemic – such as wanting more space or to relocate – to continue to support activity for some time yet.”
Nationwide is suggesting growth will slow down, but it will still be growth.
At Movewise we agree, noting that stock available for sale remains at a low and until supply starts to outstrip demand we expect prices to continue to grind up.
As we very much settle into the autumn market there have been no signs of activity slowing. With the stamp duty holiday now over, solicitors are starting to catch up on the backlog and are now able to focus on sales and purchases that were on hold in favour of those that needed to complete before the end of September.
For those looking to buy a property there is a lot of competition out there. Properties sensibly priced are attracting multiple interested parties as we still see a lack of supply in combination with ever increasing demand. The one area where this is less noticeable is for the 1 or 2 bedroom flats in cities, particularly London where we are noticing a re-balance as prices in the past have been very much exaggerated from the rest of the country. However, with many people returning to the office for some part of their working week the demand for these properties is likely to increase over the coming months, particularly for those wanting to hang on to homes they may have purchased out of the city.
For those looking to sell, the market is still active and as mentioned, at a competitive price, you are likely to generate a really good level of interest for your property. If you are looking to find a buyer and potentially move before or over the Christmas period make sure you are on the market with a good, proactive agent and that you have a solicitor instructed, ready to proceed as soon as you have an offer accepted.
Agents have reported a high volume of valuations for this time of year with most clients looking to get advice now but not come onto the market until 2022.
Come the New Year we may well see an influx of property onto the market from sellers who have decided to hold off and therefore the demand/supply imbalance may see a market more in favour of the buyer.
The best selling environment is when demand picks up faster than supply. Given this influx of property we would suggest listing in January is a good idea but get ahead of the curve and list in the first two weeks.
For more information see our article: “When is the best time to sell a property?”
This is our 61st newsletter since we launched it in June 2020. It has been a weekly newsletter as the volatility of the market during covid was high and there were huge uncertainties with whether viewings could occur, stamp duty breaks, some agents were operating and some were not
Now that the market is largely normalised we felt that a weekly newsletter is less useful than it was before and so are moving to a fortnightly letter from hereon.
The newsletter aims to be a single point of truth for everything professional property sellers such as legacy managers, probate administrators and landlords need to know to remain up to date on what is happening in the market and how it may impact the sales they are conducting.
Our newsletter will therefore contain:
If our readers would like to see a different frequency of letter or have any suggestions please let us know by reply of email.
We have a unique and independent market position in our activity using all agents at all property price levels across England and Wales and having unparalleled access to estate agent market data analytics through our internal tools, so do let us know if we can improve how we use this for you.
Thank you all.
Have a great week.
The Movewise Team