Skip to content

02 Jan, 2024

2024 Property Market Predictions

We have some exciting new buy to let deals available right now. Don't miss out and secure the best Liverpool and Manchester investment opportunities, with projected rental yields of 10-15%!

    UK Housing Market Predictions for the Next Year

    2023 has been an eventful year for the UK property market.

    Property price growth has been subdued over the past twelve months, with some areas in the South registering negative growth, while there has been modest growth in other areas such as the North West and North East.

    In contrast, rental growth has exploded across the country, while supply has been even more stretched by the massive demand for private rental properties.

    Those thinking of investing in buy-to-let in the coming year may be curious about what might happen to the UK property market in 2024.

    We’ve put together some property market predictions for 2024.

    house model on piles of coin

    How to Build a Property Portfolio, Get Started Now!

    Tips on how to start building your property portfolio with tools for success.

    UK Housing Market Outlook in 2024

    Faced with skyrocketing interest rates and the turbulence caused by the cost of living crisis, the property sector has held up rather well.

    According to research by Savills, annual drops are expected to plateau at 4% by the end of 2023, leaving the total value drop since 2022 at around 7%.

    Last year, Zoopla’s 2023 forecast suggested that the average asking price for new sellers would fall by 2%. These prices are 1.1% lower compared to 2023 – just above £355,000.

    Despite some reservations, recent data suggests that the housing market in the UK has performed much better than anticipated. But what does the future have in store?

    Savills’ report predicts that 2024 will remain somewhat subdued, with Northern areas performing better than the South.

    Beyond 2025, the market outlook seems optimistic, with healthy growth returning to Northern regions in 2026. The UK average growth forecast for the next five years to 2028 is 17.9%. Read more about the UK interest rates chart with our handy guide!

    new residential development. exterior of high rise flats in UK city. Property market housing

    Property Deal of the Week!

    £22,377 ASSURED net rental income on luxury 2-bedroom townhouse new to the market.

    RWinvest Writer New Year Predictions 2024

    Our writers spend all year researching and keeping an eye on the property market. So, as a Christmas treat, we’re each giving a property market prediction for what may happen in the coming year.

    RWinvest Liverpool Office

    Huge £25,000 Discount Available Now. Final Unit Remaining!

    Request an info pack today for this 2-bed apartment with an astonishing £25,000 discount applied.

      ‘Price Drops Likely to Remain Subdued’

      Many experts predicted a drop in house prices throughout 2023, but estimates for the end of the year show a relatively subdued fall, unlike last year’s projections. The main consensus is that whilst prices are likely to fluctuate, it is entirely possible that the market will survive without any long-lasting or apocalyptic effects.

      Zoopla believes that the housing market is unlikely to experience the substantial popularity boom witnessed between 2020 and 2021, but a continued increase in activity from 2023 will likely result in a satisfied buyer market.

      With this in mind, the market will likely see a modest 1% decrease in prices in 2024, with the underlying level of solid demand making a severe price cut highly unlikely.

      Wooden houses price dropping sign

      Get Your FREE Liverpool Investment Guide

      Everything you need to know about investing in Liverpool, one of the UK’s hottest investment cities.

        ‘North Will Continue to be More Attractive to Investors Than South’

        While it’s true that there will always be a certain amount of prestige attached to the London property market, housing prices have become too high for most investors to attain a worthwhile return on investment. This has made investing in property in London less attractive in recent years.

        The property market in 2023 has been subdued overall. Negative growth has been observed in markets in the South, but many parts of the North managed to avoid dips and register modest growth instead. The North’s appeal has led investors to turn to investment properties in Manchester, for example, or other major cities like Liverpool. Why not read more about the types of buy to let properties in Liverpool available to investors.

        This points to stronger demand for the North, and this is likely to continue in 2024.

        Bramley Moore Dock - Everton FC

        Secure 15% Deposit

        Only 15% deposit needed now, with nothing else to pay until February 2025 on luxury 2-bed apartments.

          ‘Rental Growth Should Continue on Upward Trajectory’

          Rental growth should continue on an upward trajectory throughout 2024. The UK rental market has been characterised throughout 2023 by a chronic supply imbalance that has been driving up rents at an unprecedented rate.

          More landlords are likely to enter the market as mortgages come down. But this won’t affect the pace of rental growth, which has been predicted to keep rising in regional areas, while it will slow down in London, where peak affordability has been reached.

          This means that buy-to-let flats and houses will likely remain an attractive investment strategy in the coming year.

          United kingdom housing market, interest rates increase and inflation concept

          Join Our Mailing List

          Sign up to our mailing list today for information on the latest buy to let deals, new property launches, expert insights, and more.

            ‘Off-Plan Trend Will Take Off’

            Mortgage rates have soared this year, putting some potential landlords off jumping into the property market. Buy-to-let mortgages usually have a higher interest rate than a standard residential mortgage, meaning they are even less affordable.

            In this landscape, off-plan has emerged as an alternative to a mortgage when buying rental property. Off-plan properties are significantly cheaper than fully-built properties, and developers often offer flexible payment plans.

            This also coincides with the trend towards investing in build-to-rent, as developments hit a record high in 2023. Off-plan gives the chance to invest in cutting-edge build-to-rent developments at a more affordable price and gives more flexibility in how investors pay.

            If you’re curious about the different property investment hotspots that the UK has to offer, check out some of our latest buy-to-let guides:

             

            Off plan property construction site with workmen
            Disclaimer
            Avatar photo
            Author

            Jessica Ferris

            Jessica is a property content writer at RWinvest. Keeping a close eye on the UK property market, Jessica helps our readers stay informed and up to date on the latest market news and statistics.

            Why Choose RWinvest?

            Here are three reasons to choose RWinvest for your next UK property investment.

            We have over 2,000 five-star Trustpilot reviews

            Multiple Award Icon

            We're a multi-award winning investment company

            We offer investments in the best buy to let areas

            Contact Us

            Contact Us

            Want to Get in Touch?

            Fill in the form to contact us today and a member of our award-winning property team will be in touch to help.

              I can honestly say they have put my mind at rest from day one answering all my questions I had , true professionals, I am not experienced in buying off plan or for a rental income but I have to say the process has been smooth from sales to Chloe in client care and now I’m handed over to the final stage for the site visits
              I feel very relaxed and happy with how amazing the team have been. I I can’t wait now to see the end built ! Thanks 🙏

              Kelly Webber

              Google Reviews Logo

              I have had the pleasure of experiencing exceptional customer service from RWinvest. Adam and Michelle were remarkable and were exceedingly supportive in facilitating the acquisition of two properties in Liverpool, at "The Gateway." Their guidance was instrumental in the purchase of the properties and I express my utmost satisfaction with their assistance, and I am inclined to not only endorse but also consider any property advertised by RWinvest.

              Narendra Rai

              Google Reviews Logo

              I am very happy and satisfied with RWinvest. Their team was always responsive, supportive and friendly throughout my investment process. Thomas from RWinvest team was especially very supportive and he made sure that I have all the necessary information at the right time. He helped me with all my queries, and helped me to complete my investment process smoothly and with peace of mind.

              Babak

              Arrow left
              Arrow right
              UK