Uncertain Outlook for House Prices
If you’re thinking about selling your house, you will be taking a keen interest in property values in your area, especially if you are a looking for a quick house sale. One set of figures released at the end of September show a general increase in growth to 8.4%, driven mainly by rising prices in London.
If you’re thinking about selling your house, you will be taking a keen interest in property values in your area, especially if you are a looking for a quick house sale.
One set of figures released at the end of September show a general increase in growth to 8.4%, driven mainly by rising prices in London.
On the face of it, this may not seem to reflect the picture some commentators have been painting of a cooling housing market. However, in some areas, for example South Yorkshire and the borough of Windsor and Maidenhead, there have been month-on-month falls.
According to the Land Registry, the average price for a house in England and Wales was £!77,824, still below the November 2007 peak of £181,383.
The north east of England has seen the slowest annual rate of increase, at 3%.
One property finance specialist said: “While some parts of the country are looking overpriced, others are still flat and even in the red.”
If you’re looking to sell your house fast, this can be particularly worrying.
Both housing analysts Hometrack and the Royal Institution of Chartered Surveyors have recently suggested that the housing market plateaued in August, following a report from the Office of National Statistics (ONS) of a 10.2% increase in UK home values in the 12 months to the end of July.
However, there have been suggestions that this report lagged behind some others, while leading lender the Nationwide has also recently produced its own statistics.
These suggest that, in September, prices fell by 0.2%, saying that almost £1,000 was knocked off a home’s value.
However, it also reported wide regional variations, with London prices reaching a record high of just over £400,000. And, even in the city, there are big differences to be found in prices across the capital.
Nationwide says that this was the first time prices had fallen on a monthly basis for nearly 18 months. It says that the yearly price increase dropped in August from 11% to 9.4%.
Chief economist Robert Gardner said that, during the last quarter of the year, price increases “may soften further”, while the outlook generally was uncertain.
While the labour market is strong, and interest rates still low, the prospect of rate rises, and stretched house prices to earnings ratios, together with tighter checking of potential mortgage holders from lenders could limit buyer interest.
“There have been tentative indications that buyer demand may be beginning to moderate,” he commented Gardner.
At the same time, the Bank of England has said that, for the second consecutive month, mortgage lending for house purchases dropped back.
An uncertain market, together with lengthy estate agent and legal processes, could make life tricky if for any reason you need a quick house sale.
Remember, we can sell your house fast, so you release its value as quickly as possible. And we have lots of information and advice to help you with selling your house. Talk to us today.
Written by: The Team | On: October 10, 2014