Emerging Property Market Trends as we Head Into Spring

With spring just around the corner, the property market is showing signs of new life. After a traditional lull during the festive season, buyer demand is on the rise once again. However, there hasn't been much change in the economic environment that households must contend with. Interest rates remain stable, but they are still higher than most potential home buyers or those looking to remortgage would prefer. On a positive note, annual house price growth has returned to positive territory for the first time in over a year, providing a glimmer of hope for both buyers and sellers. As we head into spring, it's worth taking a closer look at the budding trends in the property market and what they mean for anyone looking to buy or sell a home in Hull.

Are house prices on the rise?
Nationwide's recent data reveals a 0.7% increase in the UK's average house price for February, marking the first positive shift in the annual rate of change since January 2023. The typical UK house now costs £260,420. Robert Gardner, Chief Economist at Nationwide, notes a 0.7% surge in house prices for February, contributing to 1.2% annual growth, a welcome change from the preceding month's -0.2%. Despite this, prices remain around 3% below the record highs of summer 2022.

Buyer activity is heating up
Propertymark's Housing Insight Report for January 2024 shows a significant 120% increase in prospective purchasers compared to December. While this is higher than 2023, it still falls short of the levels seen in 2022. New supply has risen by approximately 79%, with around 8 residences listed per branch in January, consistent with 2022 and 2023. Sales per branch increased from four in December 2023 to six in January 2024, aligning with previous years' patterns.

Agent optimism and challenges
GetAgent's research indicates that 55% of UK estate agents are positive about the market's prospects for 2024. Concerns about increased mortgage rates and wider market uncertainty persist, but worries about reducing house prices and slower activity are less prominent. While 40% of agents expect steady house prices in 2024, 29% anticipate a rise. Some agents report an increase in new seller queries and sustained activity levels.

Are you ready to move?
Despite cautious optimism for 2024, potential buyers are proceeding carefully due to higher borrowing costs. If you're ready to move to Hull, contact Lime Property at 01482 216060 for expert assistance.