27th November 2024
The UK housing market is always a focal point of discussion, and 2024 has proven to be no different. From shifting house prices to unprecedented sales activity and evolving buyer behaviour, this year is shaping up to be a significant one for homeowners, sellers, landlords, and investors alike. Whether you’re preparing to sell, considering an investment, or optimising your property portfolio, understanding these trends is essential.
Let’s take a deep dive into the data shaping the market this year.
UK House Prices: Steady Growth Despite Challenges
Average asking prices for new sellers dropped by 1.4% this month, marking the second consecutive decline. This trend may reflect economic uncertainty tied to pre- and post-budget announcements, which can impact confidence among buyers and sellers. Despite this, the broader picture is far from bleak.
Over the 12 months leading up to September 2024, house prices have increased by 1%, slightly up from the 0.9% growth recorded the previous year. While this growth may seem modest, it reflects a market that has remained resilient in the face of affordability challenges and a large supply of homes for sale.
Regional Performance: Winners and Losers
Breaking the data down regionally reveals a more nuanced picture:
This regional disparity underscores an important trend: demand is stronger in areas with more affordable housing, where price inflation is outpacing the national average. Buyers seeking value for money are driving growth in these areas, while higher-priced regions remain more subdued.
As we approach the end of 2024, house prices are projected to finish 2% higher than at the start of the year, offering an optimistic outlook for sellers and homeowners considering their next steps.
Sales Activity: The Market’s Resilience Shines
Sales activity has been one of the most remarkable aspects of the UK property market in 2024.
This activity paints a picture of a buoyant market. Buyers are motivated by improved affordability, while sellers are increasingly confident in listing their homes. For investors, these trends signal opportunities in a vibrant marketplace where competition remains strong, yet favourable.
Buyer Behavior: Who’s Driving the Market?
Buyers have been pivotal in fueling the market’s energy this year, driven by favourable mortgage conditions. Mortgage rates, now at their lowest in two years, have encouraged more activity across all buyer demographics.
The Bank of England’s second base rate cut of the year, down to 4.75%, has played a significant role in improving affordability and enticing both new entrants and those looking to upgrade.
A Breakdown of Buyer Demographics
Why Are First-Time Buyers Thriving While Landlords Face Challenges?
The prominence of first-time buyers this year has raised an interesting question: why are they flourishing while buy-to-let investors face mounting hurdles? The answer lies in a few key factors.
The Exit of Landlords: A Market Shift
Landlords selling their properties now account for 12% of all property listings, reflecting the growing pressures in the buy-to-let sector.
Why Are Landlords Selling?
Where Do These Properties Go?
This trend creates opportunities for prospective homeowners while adding pressure to an already tight rental market.
Regional Focus: Opportunities in Wolverhampton and the West Midlands
For homeowners, sellers, landlords, and investors in Wolverhampton, the current market offers unique advantages.
Whether you’re considering selling or investing, Wolverhampton’s dynamic market makes it an attractive prospect.
Looking Ahead to 2025: What’s Next for the Market?
As we move into 2025, the UK housing market is expected to remain resilient and full of opportunities for homeowners, sellers, landlords, and investors.
Key Trends to Watch
Takeaways for Sellers, Buyers, and Investors
2024’s housing market has proven dynamic, resilient, and full of opportunities. However, success in this evolving landscape requires a strategic approach.
Final Thoughts
Whether you’re a homeowner, potential seller, landlord, or investor, the UK housing market in 2024 is full of exciting possibilities. By staying informed and proactive, you can make the most of these trends and position yourself for success in 2025 and beyond.
If you’d like personalised advice or support in navigating the market, I’m here to help—reach out anytime to discuss your plans. Together, we can make sure you’re ready for the opportunities ahead.
Concentric Sales and Lettings has proudly served the Wolverhampton community since 1990, offering comprehensive services in property sales, lettings, and management. Whether you’re a landlord, a vendor, or a buy-to-let investor, we’re here to help you achieve your property goals.
Our expertise goes beyond traditional services, with bespoke options for self-managing landlords such as tenancy health checks, portfolio restructuring, and exclusive off-market selling solutions for those exiting the sector.
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