The property market faced challenges in 2023, causing many potential buyers to wait and see. Consequently, some of this pent-up demand may surface this year.
Home.co.uk’s Asking Price Index for February indicates cautious optimism among vendors and expectations of increased demand. Asking prices have risen slightly by 0.2% across England and Wales since last month, though they’re down by just 0.1% compared to February 2023.
Stock levels remain relatively low compared to pre-COVID years, supporting prices. England and Wales’s total unsold property count is 440,674, around 16,800 more than last month, aligning with seasonal expectations.
While home market values didn’t grow overall in 2023, a return to capital appreciation seems likely. Northern regions, Wales, and Scotland are leading in this regard.
Typical Time on Market figures are consistent with pre-COVID years, with significant reductions expected in March and April.
Regionally, the North of England, Scotland, and Wales are thriving, surpassing pre-COVID activity levels, correlating with positive annualised price growth. Greater London, the South East, and South West are also improving, indicating potential price growth. The East of England and the Midlands are expected to follow suit soon.
Unsurprisingly, North England is thriving regarding activity – these regions regularly boast below-average asking prices and attractive yields. Savills suggests that the North West buy-to-let market will see returns of 9.2% in 2024, while Zoopla’s research shows that nine out of 10 areas in the UK for high yields are all in the northern regions.
For More Information: Looking for more insights? Be sure to check out our guides on buying a house in the UK as a foreigner and buying property as a limited company.
