Jones Robinson’s Q3 2016 Market Report
The South East seems to have quickly recovered from the Brexit slow-down and prices have quickly risen after a 2 month slump. We’ve seen a large increase in the number of properties coming to market in September and the first few weeks in October as the UK gets over the shock of Brexit and realises it’s still business as usual. Rightmove reported an 8% increase in website visits in September when compared with the same period in 2016 reinforcing the fact that property prices are still up, the market is still booming, and Brexit has yet to have any lasting negative effect on the potential return on property investments.
Quarter on quarter, there has been slight decrease in the average asking price for properties in the South East, however, given the positive figures being reported for September, we predict that Q4 will show some good growth in terms of asking price in the South East. With the demand for housing looking unlikely to subside, and property in West Berkshire in particular becoming the only affordable option for commuters, it’s unlikely that prices will significantly fall in the near future.
As expected in the wake of Brexit, property prices across the UK fell by around 2% in July and August. In September the market has bounced back to life with prices increasing by just under 1%. With the market seeming to have recovered from the post-Brexit slump, we expect to see more houses coming to market over the next few months as sellers try to take advantage of the soaring property prices. With more houses coming to market, buyers will have a greater selection and those who struggled to find their dream home during the Summer may now find what they are looking for.
Quarter on quarter, the average asking price for property across the UK fell by 0.77%, with the Summer months being a typically quiet time plus the uncertainty surrounding Brexit this comes as no surprise. As is tradition, the market rebounds in Autumn and we believe 2016 will be no exception. Prices have already started to soar, demand has never wavered and so life will go on and properties will continue to yield profit.
First-time buyers had the most to gain from the Summer slow-down as prices for starter homes declined. However, with the market picking up speed, First Time Buyers are in danger of being priced out of the market as September saw prices rise by 3.3%. Whilst mortgage rates have fallen, the benefits of this are negated by the rising house prices requiring larger deposits. With the average wages rising slower than the average price of a house, we encourage those saving for their first home to look into the government help to buy schemes outlined in our previous blog.
If you would like more information about the property market in West Berkshire and the South East, call the property experts at Jones Robinson Estate Agents, Newbury. Our friendly, local team will be more than happy to help. (Data Source: www.rightmove.co.uk )