Welcome to the GetAgent Property Market Update for December 2022! We’ve gathered insights from experts across the UK to bring you the latest from the industry.
It’s been a rollercoaster of a year. The first half of the year saw property prices break records, while the second half, influenced by both domestic and international factors, saw the market’s buoyancy begin to dwindle.
If you’re looking to get the edge on your home sale in 2023, read on and find about the emerging trends - including a new market characterised by a high degree of variability in both location and pace of sales.
According to Rightmove’s latest data, the average asking price for properties in the UK is expected to decrease by around 2% in 2023.
This follows a 2.1% (£7,862) drop in the average price of homes coming to market in December, which was larger than the typical seasonal pattern - possibly a result of homeowners competitively pricing their properties in an effort to attract hesitant buyers.
The average sold price for UK properties also saw a dip. The price of a typical home, as recorded by Halifax, fell from £284,425 in November to £281,272.
Economic factors, including rising mortgage costs, have contributed to the slowdown in the market. However, there is still much debate about the extent to which the cost of living crisis and rising interest rates will impact demand.
Indeed, as recently as the 7th of January, The Times and The Telegraph reported that TSB and Nationwide had slashed their fixed rate deals in an effort to tempt homebuyers and remortgagers. Furthermore, the average asking price of newly-listed properties remains significantly high, with an increase of around 5.6% by the end of 2022 compared to this time in 2021.
Rightmove also noted an increase in the number of online property listing views and estate agent enquiries. Specifically, property listing views are up 11% compared to this time last year, and agent enquiries are up 4% compared to the same period in 2019.
This suggests that many potential buyers are closely monitoring the market and considering their options, possibly in anticipation of a calmer market in 2023. As a result, there will likely be a surge of activity this January.
It may take some time for any significant price changes to take effect, but a potential bounce-back in February is still on the cards.
As we move into 2023, it’s anticipated that the market will continue to be influenced by the turbulent economic climate, with homebuyers remaining cautious. This may result in a decline in supply and demand, with Halifax projecting a 8% drop in house prices.
As mentioned at the beginning of the Update, Rightmove expects a 2% decrease in asking prices this year. In light of this, Halifax's projection can be seen as a warning for homesellers. It's more important than ever to choose the right asking price from the get-go.
If a property is advertised with an inflated asking price, the listing can linger on portals like Rightmove and Zoopla without attracting buyers. Eventually, the price may be reduced in an attempt to generate interest. It's worth considering if a more reasonable asking price from the beginning could have resulted in a more successful sale for the homeseller.
While the housing market is expected to return to a more ‘normal state’ towards the end of the year, the fact remains the same: if you're looking to sell your property, choosing a reliable estate agent is imperative to your success. Not only do they help determine the asking price, but they can also provide valuable insight on market trends.
But an experienced agent does more than just set the price. As the property market becomes increasingly complex in 2023, with varying performance across locations, property types, and sectors, it's important to have an expert who can guide you through these differences and help you make informed decisions.
With Rightmove’s prediction of an emerging ‘hyper-local market’, the performance of properties could even vary on opposite sides of the same street. A trustworthy estate agent can help you navigate these nuances and maximise the sale of your property.
In an era of advanced data tracking technology, there are now more ways than ever to keep tabs on your home.
Created specifically for the curious homeowner, My Property Tracker is a free online dashboard that lets you stay up to date on all the changes to your property and local area. Monitor changes in your property’s value, check recently sold properties, and review recently submitted planning permission applications - all in one place.
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