After a busy Easter weekend, its starting to feel like the housing market is coming out of the doldrums and our main problem in the short term is not a shortage of buyers but not enough people (yet) deciding to move and put their property on the market. Maybe people are hesitating because they think they won’t get a good price. Its true that last year, as interest rates kept rising, achieved house prices kept weakening because mortgages were becoming more expensive . However, as 2024 moves on, its started to look as if the peak of inflation has passed and although the Bank of England haven’t dropped the base rate yet, the general feeling is that’s now more a matter of when not if. Accordingly, then, buyers have started to feel a bit more positive looking forward, some mortgage products have become more attractive and some are available on lower deposits, and we’ve started getting higher prices for properties than we were at the end of last year.
And whatever the general economic backdrop, our local housing market often starts to motor in the months anyway from April to July, because the area looks at its most attractive and many of our movers want to synchronise with school years. And if you want to move in the summer you need to be getting a sale or purchase wrapped up in the coming weeks. This year the increased activity will probably coincide with interest rates dropping a bit, so it could be a busy period.
But although the market is looking more confident at the moment and there is a window of opportunity, I am worried that a General Election is probably going to be called in October and this might mean the second half of this year might not be as good as normal. In the run up to elections, buyers and sellers tend to sit on the sidelines waiting to see what will happen.
So if you have been thinking about a possible move this year contact us soon to get on our register and we’re always happy to provide a free market appraisal of your property with no obligation. Just ring us on 0208 549 5099 or drop us an email to mail@mervynsmith.co.uk