Well its been a few months since Brexit and as we settle
into the Autumn with Great British Bake Off, Strictly and the Football season ...
the newspapers are returning to their mixed messages of good news, bad news and
indifferent news about the Brit’s favourite subject after the weather ... the
property market.
The thing is the UK does not have one housing market. Instead,
it is a patchwork of mini property markets all performing in a different way. At
one end of scale is Kensington and Chelsea, which has seen average prices drop
in the last twelve months by 6.2% whilst in our East Midlands region, house
prices are 7.9% higher. But what about Loughborough?
Property prices in Loughborough are
6.8% higher than a year ago
and 0.9%
higher than last month.
So what does this mean for Loughborough landlords and
homeowners? Not that much unless you are buying or selling in reality. Most
sellers are buyers anyway, so if the one you are buying has gone up, yours has
gone up. Everything is relative and what I would say is, if you look hard
enough, there are even in this market, still some bargains to be had
in Loughborough.
However, the most important question you should be asking
is not only what is happening to property prices, but exactly which
price band is selling? I like to keep an eye on the property market in Loughborough
on a daily basis because it enables me to give the best advice and opinion on
what (or not) to buy in Loughborough. If you look at Loughborough and split the property market
into four equalled sized price bands, each price band would have around 25% of
the property in Loughborough, from the lowest in value band (the bottom 25%)
all the way through to the highest 25% band (in terms of value).
·
Nil to £110k 72
properties for sale and 33 sold (stc) i.e. 31% sold
·
£110k to £150k 97
properties for sale and 84 sold (stc) i.e. 46% sold
·
£150k to £230k 89
properties for sale and 78 sold (stc) i.e. 46% sold
·
£230k + 97
properties for sale and 38 sold (stc) i.e. 28% sold
Fascinating don’t you think that it is the middle Loughborough
market that is doing the best?
The next nine
months’ activity will be crucial in understanding which way the market will go
this year after Brexit ... but, Brexit or no Brexit, people will always
need a roof over their head and that is why the property market has ridden the
storms of oil crisis’ in the 1970’s, the 1980’s depression, Black Monday in the
1990’s, and latterly the credit crunch together with the various house price
crashes of 1973, 1987 and 2008.
And why? Because Britain’s chronic lack of housing will
prop up house prices and prevent a post spike crash. ... there is always a
silver lining when it comes to the property market!
If you would like to discuss the Loughborough property market or chat about any potential investment please feel free to call me on 01509 260777 or email me james.loughborough@belvoir.co.uk
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