21/10/2024
The latest property news fresh off of the Press and makes interesting reading The Outwood and Stanley areas show a year on year rise for sold properties of 3 % which bucks the national trend
Average new seller asking prices rise by just 0.3% (+£1,199) this month to £371,958. This is much lower than the average seasonal 1.3% monthly increase at this time of year
Market activity remains strong, but the muted Autumn price increase comes as buyer choice and seller competition rise:
The number of sales being agreed is up by 29% year-on-year, a strong rebound from the weaker market a year ago
Underlying buyer demand remains strong, with the number of people contacting agents about homes for sale up by 17% compared with this time last year, despite some uncertainty caused by the Autumn Budget
The number of available homes nationally for sale is 12% higher than a year ago – and the highest per estate agent since 2014, intensifying competition to find affordability-stretched buyers, some of whom may also have pre-Budget jitters
The outlook remains positive for 2025, but affordability pressures remain, and some buyers may be waiting for Budget clarity and cheaper mortgage rates before acting:
The average 5-year fixed mortgage rate is now 4.61%, up from 4.55% last week, the first weekly increase since May
The average annual energy bill for a home with an EPC rating of D is £2,465, up by 10% since September
Financial markets are still predicting two Bank Rate cuts before the end of the year. Combined with wage growth currently outpacing house price growth, which is also boosting affordability, this suggests an active 2025
The average price of property coming to the market for sale rises by 0.3% this month (+£1,199) to £371,958. This is a much lower monthly increase in new seller asking prices than is typical at this time of year, with the long-term average October rise being +1.3%. This much more muted than usual Autumn price bounce comes as buyer choice increases to a level not seen for ten years, putting downwards pressure on price growth. With a greater choice of properties to consider, buyers are making use of their increased negotiating power, helping to keep price rises subdued.
However, market activity remains strong despite some uncertainty created by the upcoming Autumn Budget. This month’s limited price growth is also in part down to some sellers heeding agents’ and Rightmove’s caution to price attractively to find a buyer, particularly with seller competition rising, helping to keep activity moving. Affordability remains stretched, limiting buyers’ purchasing power, but there are encouraging signs of this improving next year.
