In the midst of much media speculation, Coutts Byers offers its own, ‘on the ground’ overview of the condition of the property market and explains how to take advantage of existing and renewed demand.

The state of the property market has received much hype in the press, who have no-doubt enjoyed sensationalising a subject that directly affects so many of the population. However, the mixed reports make it almost impossible to accurately gauge the current situation, particularly given the main sources, mortgage lenders and Land Registry, both use information  relating to sales agreed two or three months previously.

Our own experience is that there still remains a strong demand for property from a large buyer base, the majority of whom having previously broken chains, now reside in rented accommodation. However these buyers are all experiencing a lack of supply and whilst the two recent interest rate cuts may account for the increasing number of valuations that we are carrying out, demand continues to outweigh supply.

Also contrary to popular suggestion, we have not experienced a drop in prices, merely an alignment that precludes the over-optimistic asking prices of last year. Perhaps exacerbating the lack of supply and artificially skewing the perception of the property market, many of these over-optimistic and ‘over-priced’ properties from last year, remain on the market today.

All things considered therefore, it remains a sellers’ market, at least for those with desirable and realistically priced property. Early indications suggest that supply will increase over the remainder of this quarter and into the spring, so a shrewd homeowner might consider this an opportune moment to begin marketing prior to the spring rush, and one which capitalises on the current market situation.
Posted on 12 February 2008.
Tags: market review.