House sales down 2% over 12 months – but prices continue to rise
A recent report from Hometrack’s UK Cities House Price index has shown a average slowdown of 2% in sales across the country, with several cities exhibiting a shocking 20% drop versus the previous year.
Those looking to sell their home fast during 2016 are facing an uphill battle to find buyers in a difficult year for property sales. The recent figures have shown the south-east as the hardest hit areas, with London and Cambridge suffering a 7% and 20% dip respectively. Experts are asserting that cities that have benefited from a consistent gain in property value over the last six years, including Oxford and Aberdeen, are facing a challenging future as UK homebuyers struggle to find the money to invest in a deposit.
While Hometrack’s insight director Richard Donnell has stated that there are signs of house prices starting to plateau, the majority of homes are already out of the range of affordability for many first-time buyers, and with the ever-increasing gap between wages and house prices, it seems that many are simply being priced out of the market.
Some feel this bad news is compounded by the possibility of an exit from the EU – which has been forecast to increase the feeling of uncertainty felt by those looking to buy or sell a home, as it is unclear how the referendum will affect both the frequency of sales and prices. Many industry professionals are estimating a similar effect to that experienced in Scotland after its push for independence.
“The EU referendum adds further complexity to an already complex outlook,” says Donnell.
“Our analysis shows that the Scottish referendum, and the 18 month campaign that preceded it, resulted in 10% fewer transactions and slower house price growth over the period relative to England.”
Between the lack of new build homes, the upcoming Brexit referendum and steady increases in house price inflation, many within the industry are preparing for the worst. Luckily, for those looking to sell, there are alternative avenues to investigate such as property buying companies, who will pay cash for any home and avoid the drawn-out process and fees often associated with traditional house sales through an estate agent.
Are you finding it hard selling your home? Why not ask National Homebuyers for advice, as we buy any house. Call 08000 443 911 or request a call back to find out how much you could get for your property.