Traditionally, September is a fairly muted period for the property industry. However, with the recent base rate cut having provided a significant psychological boost for the market, a late-summer surge may well be on the horizon, according to some property experts.
This somewhat unprecedented 'Autumn bounce' - should it come to fruition - would owe most notably to the fact that mortgage rates are finally showing signs of softening, as competition between the ‘big six’ lenders gathers pace.
Currently, the mortgage rates are back to what seems like a reasonable level, especially against the backdrop of the last few years, and this improvement is filtering through into buyer demand, which is up 4% from the same time last year. This uptick in activity is being helped by the fact that there are 10% more homes for sale compared with a year ago, which is affording motivated home-movers the benefit of choice, whilst keeping house price growth in check.
As for the wider factors driving this buyer's market, forecasters are quick to weigh in on the impending 'October Statement' as a contributory factor. Most notably, it is the likelihood of taxation changes under the new regime was have led many landlords to bring forward their asset sales, bolstering supply and sparing market activity from the usual seasonal dip.
This consistently high activity level has been helped, as well, by the fact that sellers are continuing to price their properties attractively. As a result, sales are 5% higher than this time last year, in spite of enduring affordability challenges.
Collectively, these latest indicators of market health and resilience should provide property sellers (and buyers) with a sufficient degree of confidence to strike while the last selling season of the year is hot.
For more information on the local property market, or to register for property details, please contact Braxton on 01628 674234 or email property@braxtons.co.uk