Is 2024 Time to Sell Your Home?
As we step into 2024, homeowners in the UK are faced with a crucial decision: should they dive into the real estate market this year or adopt a wait-and-see approach? With fluctuating economic conditions, global unrest, and the looming shadow of a general election, the UK housing market remains in a delicate state, influenced by the echoes of Brexit, the ongoing pandemic, and the cost-of-living crisis.
Strategies to Maximise Your Asset in 2024
Get Busy
Anticipate a surge in housing market activity in the first few months of 2024. The upcoming general election introduces an element of uncertainty, prompting buyers to act early and de-risk transactions. However, consider the potential impact of a change in government policies.
Take Into Consideration Seasonal Changes
You may want to avoid listing properties in the depths of winter. Instead, wait for the spring bounce or the post-election boost, emphasising the importance of creative pricing strategies and showcasing work-from-home spaces. November 2023 saw a 33% increase in offers compared to the previous year. Those in sought-after areas, not under pressure to sell quickly, might benefit from listing their properties in spring—the traditionally bustling season for property transactions.
Timing is Key
There’s an upcoming window of opportunity for sellers in 2024. With the economy stabilising, inflation under 4%, and decreasing mortgage rates, there's a pent-up demand. Timing is crucial, cautioning about potential slowdowns during a government election. Don’t forget to inject positivity into the mix though, renewed economic optimism and politically led incentives are leading to a more enthusiastic property landscape. Align your decisions with personal move goals, considering the extended time taken for the entire selling process.
Know Your Local Market
Buyer activity is becoming increasingly localised. Understanding micro markets, based on schools and transport links, is crucial to a successful property sale. Sellers are warned that they must keep asking prices competitive and prioritise presenting homes in their best condition. With the high cost of borrowing and building materials, focusing on well-priced, well-presented homes remains crucial in the current market.
Understanding the Current Market Landscape
House Prices in 2023:
Prices fell by approximately 2.1%.
London and the South West experienced the biggest annual falls.
The average UK house price stood at £285,000 in November.
Housing Market Dynamics:
A drop in housing transactions by 22% in November 2023.
Interest from buyers fell, leading to a slower market.
Sellers are accepting discounts of £18,000 on average.
Predictions for 2024:
Lenders and property portals forecast price falls, with predictions ranging from stable prices to a 4% rise.
Despite a positive start in January 2024, experts suggest we're still in a buyer's market.
What Sellers and Buyers Should Consider
Sellers:
Pricing: Carefully set asking prices to attract demand.
Condition: Present homes in the best condition possible.
Timing: Consider the specific market demands in your area.
Buyers:
Choice: Enjoy a greater choice of homes for sale.
Value for Money: With more supply, buyers can focus on value for money.
Timing: Be mindful of potential price adjustments in 2024.
Forecast for 2024
Be cautious that despite positive reports, the market remains in a buyer's realm. Sellers should remain realistic about home values and recognise that while demand has increased, a substantial number of mortgage holders are yet to remortgage onto higher rates.
In conclusion, navigating the UK's property market in 2024 requires a delicate balance between seizing opportunities and understanding the nuanced dynamics of local markets. Whether selling or buying, staying informed and adapting to changing conditions will be key to success in this evolving real estate landscape.
