Even though the UK is currently in a recession, there is every indication the housing market is performing strongly right now. A lot of industry experts are declaring the housing market is bouncing back, and there are statistics to support this claim.
According to Nationwide figures, property prices for August increased by 2% on the month to month average. This has led to an average price of £224,123 which is the highest level since February of 2004.
The annual house price growth increased to 3.7% in August.
There is some confidence from market experts
Robert Gardner, Nationwide's chief economist, said: “House prices have now reversed the losses recorded in May and June and are at a new all-time high. The bounce back in prices reflects the unexpectedly rapid recovery in housing market activity since the easing of lockdown restrictions. This rebound reflects a number of factors. Pent up demand is coming through, where decisions taken to move before lockdown are progressing. Behavioural shifts may also be boosting activity, as people reassess their housing needs and preferences as a result of life in lockdown."
When asked if he expects the current level of activity in the market to last, Nationwide’s Robert Gardner added: “Most forecasters expect labour market conditions to weaken significantly in the quarters ahead as a result of the aftereffects of the pandemic and as government support schemes wind down. If this comes to pass, it would likely dampen housing activity once again in the quarters ahead.”
What of the local market?
At Holdencopley, we are speaking with many local buyers and vendors. We know there is considerable activity fuelled by the stamp duty holiday. If you are looking for guidance, assistance or a property valuation, we can help you.
We also stay in touch with what others are saying about the local market.
Ian Marriott has considerable experience in the local housing market, and he spoke to media about the market. Ian said; “In June this year, the Nottingham office saw a 35% increase in the number of buyers contacting us from London compared to January/February, keen to use the equity from their current home to purchase somewhere larger that offers more for their money.”
Ian continued by saying; “According to our research, property close to stations with a journey time into London of 30-59 minutes costs an average of £440,000. Up that travel time to 60-89 minutes and average values drop by more than a fifth to £347,000. In the 90 to 119 mins bracket – which includes Nottingham – the average price drops by a quarter to £259,000. In Nottingham itself the average price falls to £185,412 which is 28% cheaper than the average value of properties within the same journey time bracket.”
We offer property management, property to rent and property for sale in Arnold, Woodthorpe, West Bridgford, Hucknall, Carlton, Wilford, Mapperley and throughout the Nottingham area. If you would like to arrange an appointment to help you negotiate the local buy-to-let market, please contact Holdencopley today by calling us on 01158969800 or emailing steven@holdencopley.co.uk.