February 2024 Market Update

The first few months of the year are an important indicator for the year to come. In January’s property market update we spoke of increased buyer & seller activity, as well as improving mortgage rates, meaning a tentatively positive outlook for the year to come. Has February strengthened this positive outlook for 2024?…

What’s happening in the property market?

The start of 2024 saw a jump in activity from both buyers and sellers, and this momentum has continued into February, with 7% more properties listed this month when compared with this time last year, as well as a 7% increase in buyer enquiries. These elevated activity levels in the market show promise for the year to come, with many choosing 2024 to make their move. However, the market remains price sensitive, so does have a slight divide in activity between those properties which are priced correctly, and those that are overpriced.

Looking at sales agreed for the start of the year, the first six weeks of 2024 have yielded a 16% increase on the same period last year. Comparing this to the pre-covid market of 2019, we can see that the number of sales agreed is up 3% on the same period. This is a very strong indicator that many buyers see 2024 as a good year to make a move. Combining this with the boost in activity, we have a positive indication for the Spring market to come.

‘How has this activity impacted house prices?’ I hear you ask.

This month, Rightmove has reported that the average new-seller asking price has risen by 0.9% to an average price of £362,839. This brings us back into a positive annual change for the first time since July, with Rightmove reporting an annual increase of 0.1%. Breaking this price increase down into property sector, we can see that first-time buyer type properties have an annual increase of 0.7% and second-stepper homes are up 0.1%, while top-of-the-ladder properties remain down on last year with an annual change of -0.8%.

Additionally, the Nationwide House Price Index has reported an even more positive change, stating an annual change of 1.2% in house prices. While a smaller sample size, the Nationwide House Price Index is based on their lending trends, so is a good indicator for the health of mortgage funded of transactions. This switch into positive territory is certainly a good sign, especially at a time when interest rates are still higher than many would like.

To find out what impact this may have on the value of your property, it is best to get in touch with a local agent with plenty of expertise in your local area. Of course, for our readership local to Hailsham & Eastbourne, we’d be delighted to help with a free property valuation with no obligation – just give us a call! CLICK HERE to find out more.

What can we expect from the 2024 Budget?

The 2024 Budget is right around the corner, and with first-time buyer level properties the least improved in terms of activity and sales agreed on last year, we can hope to see support for the first-time buyer sector from the government to help encourage first-time buyers onto the ladder. While mortgage rates have improved substantially and stabilised, it is thought that interest rates may settle at this elevated level for the near future. Additionally, the current economy means that cost-of-living pressures are impacting the ability to save for a mortgage deposit.

What does this mean for my 2024 selling plans?

When it comes to marketing your own property in this price sensitive market, getting the price right is a big factor in selling successfully, but the marketing of your property is also of great importance. Making your property stand out from the crowd and presenting your home in it’s best light will automatically increase the value for money that buyers see and attract more interest. Both the quality and strategy of marketing are going to make all the difference in this price sensitive market.

Getting expert advice from a straight talking agent, early on in the process is key to making your moving plans successful. Even if you’re only throwing the idea of moving in 2024 around, speaking with one of our property marketing experts is a great start to making your next step on the ladder.

Moving house is a big deal – so why not let us guide you through the process. We’d be delighted to hear from you and happy to offer straight-talking advice without any obligation. Call us on 01323 440678.

Data sourced from publicly available sources including Rightmove, Zoopla, Nationwide