Market Comment
5
The market is moving - FACT!!
You just have to drive around Midhurst & Petworth and you cannot help but notice more & more 'SOLD' signs sprouting up.
The upbeat mood of the property media together with the government 'Help To Buy Scheme' have added to the renewed confidence from potential buyers that the economy is improving and now is the time to buy.
This has helped push some house prices up by over 5% from this time last year, although the national average is still 7% below its 2007 peak.
Robert Gardner, chief economist at Nationwide, said there were signs of a “resilient upward trend” in house prices, with a 1pc gain in October alone.
He said: “House price growth has accelerated as buyer demand has picked up more quickly than the supply of new homes. The risk is that if demand continues to strengthen while the supply of property remains constrained affordability could become stretched. Indeed, average wages have continued to decline in real terms even though employment growth has been fairly robust in recent years.”
Experts have pointed at the rapid resurgence in house prices and suggested a bubble is forming. Others have said that while this may be true in London, rises across the country are less pronounced.
A typical mortgage payment for a first-time buyer is currently equal to around 29pc of take home pay, Mr Gardner said, which was “in line with the long term average”.
There has been particular interest in properties on the market below £250,000, with many first time or investor buyers eager to purchase before prices increase further.
November & December are traditionally quieter months for estate agents - but this year looks as though they could be far busier than normal!
Call us today to discuss buying or selling your next home.
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