2024 is off to a positive start
The North East of England property scene, along with the wider UK market, has kicked off 2024 on a high note, buoyed by a notable decline in mortgage rates and a release of the pent-up demand accumulated in the latter half of 2023. The latest insights from Zoopla reveal that the momentum, which began in the early days of January, has not only persisted but strengthened into the first half of February.
A significant uptick in buyer demand, running 11% higher than the same period last year, marks a positive shift in the market dynamics. This resurgence in buyer interest spans the entire UK, with London leading the charge, closely followed by the North East and North West regions. This is particularly noteworthy for Wynard and Darlington homeowners, positioning the North East as a region of growing buyer activity and interest.
For years, London's housing market has trailed behind the national average, with modest house price growth since 2016 attributed to the constraints of housing affordability in the capital. In stark contrast, the average value of a flat in London has seen a modest increase of 13% over this period, while the average UK house price surged by 33%, and an impressive 50% in Wales, highlighting a nationwide trend of varied growth rates.
Better value for money in North East property market
The appeal of better value for money is gradually enhancing London's prospects, yet it remains one of the most expensive housing markets in the country. This disparity in housing affordability and the influence of mortgage rates on purchasing power are reflected in the varying sales periods across regions. In 2023, London and the South East experienced the longest sales periods, up to 40 days, whereas Scotland and the North East enjoyed the fastest sales, with transactions concluding in approximately 20 and 30 days, respectively.
The decline in mortgage rates has been a catalyst for increased activity, particularly in southern England and London, where the high cost of housing has previously dampened buyer enthusiasm. Zoopla's analysis underscores the importance of understanding the time frames involved in property transactions, highlighting that from the point-of-sale agreement, it can take an additional three to six months for the legal and mortgage processes to culminate in the exchange of contracts and the eventual handover of keys.
Heightened demand should continue in housing market
Looking forward, Zoopla anticipates a continuation of this upward trend in market activity, forecasting a more balanced market between sellers and buyers than witnessed in the past three years. For homeowners looking to sell, this presents an opportune moment. The heightened demand, coupled with a more balanced market, offers an excellent environment for securing favourable sales outcomes.
Richard Donnell of Zoopla, said: “One of the best ways to assess the overall health of the housing market is to look at the trends in the number of sales being agreed. If buyers and sellers are agreeing more sales then that shows a healthier market with people able to fulfil their home moving ambitions. The fact we have almost a fifth more homes for sale than a year ago is helping to narrowing the supply-demand imbalance, providing buyers with more choice and boosting the chances of sales being agreed.”
We are here to help you move in and around Wynyard
If you are looking for help with any matter of the Wynyard property market, it is best to speak to property professionals. No one knows for sure what is going to happen next, so we won’t claim to have all the answers, but the Anthony Jones team is keen to help you as best we can. If you would like to contact us over housing matters, please call us today on 01740 807107.
