July 2024 Market Comment

Welcome to the July 2024 Property Market Comment, hot on the heels of a general election that saw a massive swing to Labour from the Conservatives. From a housing perspective this is not as dramatic as it might have been in the past, with both parties not that far apart in terms of policies that might directly affect home movers. Yes, some people might see slightly higher taxes, but this comes at a time when both interest rates and inflation look like they’re on the way down, providing a degree of stability following a time of economic turmoil. So property could technically become more affordable in the foreseeable future. Now the brakes are off, a 10% uplift in sales volumes are predicted for this year. This is good news for buyers, with a greater choice of property, andfor sellers, with a greater choice of buyers. Certainly, there does appear to be a commitment from the new Government to helping first time buyers onto the market, with the introduction of a permanent Freedom-to-Buy mortgage guarantee scheme, although first time buyers will see their SDLT (Stamp Duty) exemption reduced from £425,000 to £300,000 from April next year. That thought alone could prompt an immediate boost to the upper end of the first time buyer market with buyers hoping to buy before that cut. The knock on effect from that could, in turn, boost the rest of the market as first time sellers become second time buyers, and so on right up the chain. So in all, a healthily boring prognosis perhaps in a market where stability and gentle inflationary pressures ultimately instil the confidence for people to move house for genuine, personal reasons -jobs, marriage, family, schooling, divorce, finances etc. These are the circumstances in which we excel –solving their housing problems and ultimately, helping people move. So, now the brakes are off, why not contact us to see how these market influences could potentially affect your own property plans. You might be pleasantly surprised!