THE REAL REALITY OF THE PROPERTY MARKET…

IT IS true that there has been a recent decline in property transactions which, unsurprisingly, is in part due to Brexit. However, this doesn’t mean the market has nothing to offer those who are still looking to move. Affordability is on the up and with borrowing at record low rates, the market is looking more positive. Recent Land Registry records show that 96% of homes in England and Wales are selling for more than their asking price, proving sellers are now being more realistic about what their home is worth. Mortgage approvals are also at their highest in more than a decade - in July of this year mortgage approvals were 16.4% higher than July 2018 and a total of over 95,000 mortgages were approved which is the highest amount since 2009. Additionally, interest rates still sit at a low 0.75% which means that the cost of borrowing remains exceptionally low. High levels of competition between lenders combined with low interest rates means that borrowers are in a really strong position. This mixture of factors is making the market an interesting place. Negative press about the market alongside general uncertainty about the future means that those not in the industry are perceiving this to be a tough time for buyers. However as you can see, this is not necessarily the case. Within Gloucestershire there is still good supply and demand for houses, and those needing to move are not being put off by the uncertainty. Good houses, located in good areas are still selling for a premium price and continue to have multiple bidders. The slight difference at the moment however, is that these are mostly ‘needs’ based moves rather than ‘want’ based moves. These ‘want’ moves; for example a potential landlord investing in an apartment for buy-to-let or as a second home, are the section of the market that has stalled due to the current uncertainty on topics such as stamp duty. This section of the market are the people that aren’t moving because they need to, but more because they want to. Whatever your reason or motivation to move, consider speaking with one of our experts at one of our nine branches across Gloucestershire. They’re on hand to help and advise, whatever stage you are at in the moving process. Visit us online at www.andrewsonline.co.uk for more information.