House prices, and whether they will rise or fall from now on, is a very hot topic for general discussion across all sectors of society.
Rightmove statistical analysis says that the ‘upper end’ of the housing market is starting to cool down, whilst the first-time buyers and second-time movers market is still showing record highs in prices coming to market.
To be precise and to quote our Rightmove colleagues:
- New record highs in price of property coming to market in the mass-market sectors, made up of first-time buyer properties, up by £1,328 (+0.6%) in the month, and second-stepper properties, up by £975 (+0.3%) in the month
- Cooling of the upper-end four-bedroom-plus sector, down by £4,699 (-0.8%) in the month, with buyers no longer making larger stamp duty savings
- Overall result is that the national average falls £1,076 (-0.3%) this month, the first price drop recorded in 2021
Buyer demand remains strong, suggesting an autumn bounce in prices and seller activity:
- Demand stats for the first week in August are up 56% on the same period in 2019, and down just 17% on frenzied post-lockdown 2020
- With homes selling faster than ever, there’s a strong incentive for owners to come to market, with “sell before you buy” proving the best tactic for many to secure their next home in this fast-moving market
The above seems complex and is based on extensive Rightmove data. If you really want to know what is happening to the local market in general and work it out for yourself, here is a little insider tip from Meyers:
Get Figure A:
- Go onto Rightmove.co.uk and type in your chosen Town in the search bar
- Click on a price range you might be interested in i.e £400,000-£600,000
- Click on type of property; Houses or Bungalows etc
- Click on the box to include those ‘Under Offer or Sold STC ‘
The above gives you the total amount of houses seen as available in that price range; make a note of the number.
Get Figure B:
- Now un-tick ‘Under Offer or Sold STC’ whilst keeping the rest of the search criteria the same.
This will give you the total number of houses that are still available ‘for sale’ within that price range and of that type. Make a note of this number too.
- Now divide B by A and times by 100 – you will see whether or not we are still in a buyers or sellers market.
For example if there are 91 houses on the market at a certain price range, and 22 are still available for sale (making the sum 22/91 x 100) then 24% of houses are still for sale.
0-35% availability = a sellers market
35%-65% availability = a flat market
65%-100% = a falling market
In other words, right now we are still in a ‘sellers market’. By having a play with the above across different house types you can see for yourself which market we are currently sitting in, regardless of whether or not house prices are beginning to re-adjust themselves on a weekly or monthly basis. You can use this calculation to see for yourself when might be a good time to try to sell your home.
Curious what your house is worth? Whether you’re ready to sell or just plain curious, the next step is to get a local estate agent to give you an accurate valuation.
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