Autumn house prices

In our fourth expert column for the Shropshire Star, Russell Griffin discussed Autumn House Prices.

"As we move to Autumn and the weather starts to cool, mass-market prices are hitting new record highs.

Many people are wondering whether now is a good time to sell? Many people are feeling there is still much uncertainty in the air. We are all just getting used to our ‘new normal’, seeing how things evolve, a return to work for many who have been furloughed, plus ‘settling’ from the effects of Brexit.

It is unclear what the effects of the end of furlough termination will be, as approximately one million employees return to work (or not!).

It's understandable that people might be wondering whether it’s best just ‘stay put’. Happily, as we have seen over the last 12 months in the housing market, things are not always going as people may fear, especially in our county.

There are actually new record price highs in the ‘mass-market’ sectors made up of two bedroom and fewer first-time-buyer-type properties and three to four bedroom second-stepper-type properties, where activity remains very strong.

These sectors are much less affected by the withdrawal of most stamp duty incentives.

First-time buyer properties were up by £1,328 (+0.6per cent) in August and second-stepper properties, up by £975 (+0.3per cent)., which we expect to continue.

In the first week of August, individual buyer enquiries to agents were up by 56per cent on the same period in the pre-Covid year of 2019. This also shows that the number of sales agreed is up by 9per cent on the same period in 2019.

Buyer demand remains extremely strong – and simply put, demand is greater than supply right now. In reality, the market has cooled slightly, but October is traditionally a very strong sales month as purchasers make their buying decisions following a slower period over the summer when people are relaxing and holidaying.

The average time it is taking to sell a property in Shropshire is below the national average right now, indicating the market is staying strong.

Shropshire remains a destination county, and we are confident at Samuel Wood, that it will continue to flout what is happening in the rest of the country, thanks in part to the influx of recent media reports on how popular ‘Shires’ are and what living benefits they offer people.

Just last week we shared a report from The Guardian on social media which put Shropshire in the top five emerging food and drink destinations for a short UK break, citing a wealth of quality independent places to shop eat and stay.

So, demand is still very much high with homes selling faster than ever. There’s a strong incentive for owners to come to market with a “sell before you buy” tactic proving to be the best for many to secure their next home in this fast-moving market, as we discussed in our last column.

Rightmove actually predicts there will be an autumn ‘bounce’ in both seller activity and prices. We will continue to support our clients and offer the very best expert advice on the emerging market."

 

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