It has been a difficult start to the year for many people, with the introduction of a third national lockdown. The property market has remained open, and we have continued to support our customers in any way we can, as we recognise the genuine need to move.
What is the picture nationally and regionally?
Rightmove has seen a year on year increase in visits to the site of 39% and time spent on the site up 44%. Prospective buyers were up 7% and property enquiries were up 14%. Comparing year on year, these figures measure against January 2020, which in itself was a notably strong month for the property market following the election of December 2019.
Here in Yorkshire and North East Derbyshire, Rightmove confirmed house prices are up 6.3% and 5% respectively on last year. Continued demand from households in Southern cities moving north and more local movers has meant buyer competition for properties remains high.
Nationally however, the average price of a property coming to market this month has fallen by 0.9%, likely to be influenced by sellers in less active markets wanting to tempt buyers and squeeze in a sale before the end of the Stamp Duty Holiday.
What does this mean for sellers?
Here at Redbrik, we’re matching Rightmove’s increase in demand, with our website traffic up 34%, enquiries up 44%, offers received up 13% and offers accepted up 21% (far above the increase Rightmove has seen at 5%).
Quite simply, sellers should take confidence from this – there is huge demand from highly motivated buyers currently in the market in South Yorkshire and North East Derbyshire.
Despite demand, fewer properties are coming onto the market, resulting in more properties achieving asking price or above and fewer price changes. Rightmove saw 21% fewer new properties coming to market and at Redbrik we have seen 37% fewer properties. Consequently, anyone thinking of selling should be aware now is a good time to maximise the value of your property.
Those looking to sell their first home will benefit from particularly high demand, as many first-time buyers will seek to take advantage of low-interest rates and 10% deposit mortgages from lenders, as they make their first move onto the property ladder.
Similarly, demand is still high for properties with greater indoor and outdoor space, particularly homes that can be flexible to suit a range of needs.
What does this mean for buyers?
Buyers should be aware of the competition they will face in the market for properties they want. Being legally and financially prepared will stand them in a better position to have their offers accepted. So if you’re looking to buy, be sure to get in touch so we can support you in getting your next home.
New buyers in the market are now unlikely to make the most of the Stamp Duty Holiday and should therefore no longer be factoring any savings into their property search. However, many first-time buyers will still benefit from a Stamp Duty saving after the deadline as the threshold reverts to £300,000.