Know what's going on with house sales
The 'Home Truths' report commissioned by Yorkshire Building Society paints a detailed picture of the current hurdles and sentiments within the UK housing market, impacting not only buyers but also homeowners looking to sell in Wynyard and Darlington.
Below are key insights and implications derived from the data:
The triad of increased living costs, elevated house prices, and higher interest rates forms a challenging barrier for individuals eyeing homeownership.
Despite these hurdles, a desire for homeownership persists, with 37% of first-time buyers aiming to purchase within the next year. Their motivations are varied, from ceasing rent payments, renovating a personal space, to investing in property.
Rental Sector Challenges
The report highlights a diminishing allure of the rental sector for investors, with 61% of landlords finding it less attractive. This sentiment is further exacerbated by a shortage in privately rented housing, impacting various demographics.
Encouragingly, 66% of landlords intend to remain in the sector for at least five more years. Yet, 38% call upon the government for enhanced support to navigate regulatory and tax changes that hamper profitable operations.
A notable shift is seen in mortgage accessibility, with a growing segment of borrowers deviating from the conventional profile due to societal changes. A substantial 78% of first-time buyers and 73% of remortgagers feel homeownership is veering towards an elite privilege.
Implications for Home Sellers in Wynyard and Darlington
As you’d expect, there are implications for those looking to make a move in the housing market, and we are on hand to assist you as best we can.
Given the financial strains highlighted, a competitive pricing strategy could be key to attracting potential buyers. Understanding the local market conditions and setting a realistic price may shorten the time on market.
With a portion of first-time buyers still keen on purchasing, tailoring marketing efforts to appeal to this demographic, showcasing affordability and potential for personalisation could be beneficial.
Engagement with Landlords
Given some landlords' sustained interest in the sector, exploring opportunities to engage with potential buy-to-let investors could be another avenue to secure a sale.
Government Schemes Awareness
Stay informed on government schemes aiding home purchases and share this information with potential buyers. This could ease their purchase journey and expedite your selling process.
Being transparent about the costs associated with buying a home and offering referrals to trusted mortgage advisors could assist in building trust with potential buyers, facilitating a smoother selling process.
Ben Merritt, director of mortgages at Yorkshire Building Society, said: “The reality is that family structures are changing due to things like greater life expectancy prompting a rise in multigenerational living. More people are working for themselves, or employed as contractors, meaning they have unstructured incomes; while factors like the shift to hybrid working following the global pandemic are changing what they want from a home, and therefore their borrowing needs.”
Ben continued by saying: “As a mutual building society, this means we have come full circle, and are stepping in to provide outside-the-box solutions - just as we were set up to do back in 1864. We’ll continue to rise to the modern-day challenges by innovating to offer today’s borrowers suitable pathways to home ownership.”
Contact Anthony Jones for all Darlington property matters
If you are looking for help with any matter of the Darlington 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 01325 776424.