With Brexit and the pandemic causing a great deal of uncertainty, it is unsurprising that we’re receiving questions from homeowners who are contemplating whether now is a good time to sell.
But, despite the uncertainties, there are positive signs that the property market will prosper this year…
House prices are going in the right direction
Locally, the average house price in WA15 at the moment stands at £510,155 – 1% up on the previous year and 9% up on the 2017 figure of £467,821. So even amid such economic uncertainty, property prices have still risen.
And the picture is looking positive nationally, too. Compared to this time last year, the average UK house price has risen by £13,000.
In 2021, with Brexit uncertainty now beginning to wane and the Covid-19 vaccine being rolled out so quickly, we expect to see a further upturn in house prices.
The time it takes to sell a house is shortening
According to Rightmove, the average time for a house to sell was, in November 2020, just 52 days. This is quite a remarkable statistic because it marked the lowest figure since records began.
The introduction of Covid-safe regulations, online services such as valuations and viewings and a stamp duty holiday allowed the market to get back on its feet so by the end of 2020, people who had been looking to move for a while were desperate to push through their house purchase.
Interest rates favour home sellers
Prior to the pandemic, interest rates rose steadily to 0.75% – meaning borrowing was becoming more expensive.
Then in March 2020, at the start of the pandemic, the Bank Of England dramatically cut interest rates to 0.25%, then within days to just 0.1% – where they remain at the moment. This is the lowest level on record.
This is good news for those looking for a mortgage, which is another feather in the seller’s cap for 2021.
Economists believe that interest rates will rise when the economy becomes more stable, possibly in the spring, but they are unlikely to rise at a dramatic rate.
It’s difficult to predict the impact of Brexit and the pandemic on the long-term, but certainly for the coming months there are positive signs for those wishing to put their home on the market.
For more advice on selling your home, contact Jackie Atkins on 0161 960 0066 or email Jackie@halehomesagency.co.uk