When it comes to confidence in the property market, people want to see genuine signs of improvement. It is nice that industry experts believe there is improved confidence in the market, but people need evidence, which is why data provided by HMRC is of value and merits.
In January 2020, there were 102,810 property transactions. This figure is 4.1% higher than December 2019 figures, and it is 5.2% higher than the year-on-year figures.
With increases on the previous month and the annual figures, there is a consistency which suggests there was a greater level of optimism surrounding the January 2020 figures, and this hopefully breeds confidence for the future.
Jeremy Leaf is a former RICS residential chairman, and he said; “HMRC’s report is the latest in a series of recent surveys telling a familiar story - release of pent-up demand began even before the election, which we’ve noticed in our offices too. The increase in transaction numbers is particularly striking as they reflect sales which were agreed mainly in September and October. If they are like this now, numbers are set to be even stronger as we approach the peak spring-buying season.”
While it is good to see an increased level of confidence in the property market, it is vital people don’t get carried away too much. The March Budget may affect matters, Brexit is still an ongoing issue, and the lack of supply in the property market remains an issue which must be resolved to assist people step on to the property ladder with confidence.
Leaf continued by saying; “The strength of any recovery will probably depend on whether enough properties become available at realistic prices for buyers taking advantage of improved affordability. The market remains price sensitive so buyers will not pay tomorrow’s prices today.”
However, while it is best to proceed with caution, there is cause for optimism in the market. For too long, buyers and vendors have held off from making a decision, and hopefully 2020 will be the year many people feel confident in making a property move.
Mike Scott is the Chief Property Analyst of Yopa, and he said; “We expect that this increased demand for housing will lead to house price increases in the first half of this year, as it doesn’t seem to be matched by any significant increase in supply. We urgently need more properties for sale, so vendors who do come to market this spring have every chance of selling their home quickly, for a good price.”
If you are keen to sell your home soon, contact Coakley & Theaker and we will be more than happy to assist you. We can arrange a property valuation on your behalf, and we are more than happy to take you from start to end of the sales process. If you want to make 2020 the year you make a move, contact Coakley & Theaker, and we will be more than happy to assist you.