Expert advice for buyers & sellers as demand rebounds
05 Oct 2023
As reported in the Yorkshire Post on Saturday 30th September, by Property Editor, Sharon Dale and including an interview with Beadnall Copley Founder, Andrew Beadnall
Zoopla’s latest House Price Index shows that September brought an uptick in buyer demand and the numbers of sales agreed. Demand rose by 12 per cent this month while sales are also up.
Analysts say the rise in enquiries is partly seasonal but also reflects improved consumer confidence and homeowners who expect mortgage rates to fall.
Zoopla adds that despite mortgage rates over five per cent delivering a significant 20 per cent reduction to household buying power compared to early 2022, many house hunters remain unwilling to make compromises in the size of home they are looking for.
The buyers’ market continues to prevail with 80 per cent more homes available for sale compared to September last year. The average discount to asking price for a newly agreed ale now stands at 4.2 per cent. This number is being skewed by London and the South East where discounts are greater at 4.8 per cent. This figure stands at 2.8 per cent for the rest of the UK.
Yorkshire property veteran Andrew Beadnall, founder of Beadnall Copley estate and letting agents, which operates in the sought-after Golden Triangle, has given us his thoughts on the market and says that whilst nationally house prices may not have risen by much in the last 12 months they have gone up in Yorkshire and the Humber. According to Rightmove, they have grown by an average four per cent.
Andrew adds that a note of caution and says that even the most sought-after areas, the market is price sensitive. He says “As an agent it is vitally important to give honest and accurate advice when it comes to pricing even if this may not be what a seller wants to hear. The truth is that demand has fallen since the height of the market 18 months ago.
“For those of us operating in the Golden Triangle it has meant that instead of 15 to 20 buyers coming forward with offers after an open day, it is down to 5 to 10 viewings in the first couple of weeks and 2 or 3 buyers wanting to make offers.
“The position of buyers has changed in so much that those who are selling a property seem more motivated to move and are the ones coming forward with good offers at or around the asking price, whereas buyers in a stronger position with cash in the bank seem more likely to come forward with bigger discounted offers. Sellers still have the best chance of getting the highest price in the first six weeks of marketing.”
Andrew stresses that good marketing is vital to ensure a property stands out from the competition and points out that higher mortgage rates combined with inflated building costs have meant that homes in excellent condition are most in demand. Meanwhile, buyers requiring a mortgage are looking to put down higher deposits in order to secure the best rate possible and therefore do not have the funds left available to spend on refurbishing a property.
While the sales market is not as buoyant as is was last year, Andrew says that the lettings market however is showing no sign of slowing down and with higher mortgage rates making purchasing difficult for some buyers, renting is the other option.
He adds: “This has led to a strong increase in demand, and combined with the shortage of properties to let, has created a steep rise in prices. It is now not uncommon for rental properties to go to best and final offers in excess of the quoted rental price within the first few days of marketing.
Property pictured: Plot 5, Scarcroft Crescent, Scarcroft – Contracts exchanged this week - one of only nine stunning homes all individually set within an exclusive gated development in the extremely sought-after area of Scarcroft. Built by award-winning developers JP Wild Homes the properties come with a 10 year guarantee and far-reaching views over surrounding countryside. Call our Wetherby office for more information on the plots still available – 01937 580850