Housing Market Update – December 2021

As the keen-eyed amongst you may notice, it’s been a few months since our last housing market update – a combination of an incredibly busy period across all three of our offices and the small matter of picking up a hat-trick of awards meaning that we’ve neglected our blog writing duties somewhat!

The last twelve months has been nothing short of unprecedented in our world of property sales and residential lettings, sparked by the drive for many to move to bigger or more spacious homes as a direct impact of the Coronavirus pandemic. Put simply, people thinking that if they are going to be spending more time at home (including ‘hybrid’ working from home) then they want to be in a property that they love!

A look across property industry statistics shows that the average property selling price in the North West (including Cumbria and Lancashire) for the past year was £234,423, a figure which is 11% up on the previous twelve months.

Rightmove figures, data which is provided by the HM Land Registry and was last updated on 10 December 2021, provides the current data for towns and villages across the South Lakes and North Lancashire with comparisons against the same month in 2019:

House Prices in Kendal – average price of £251,241 over the last year (9% increase).

House Prices in Milnthorpe – average price of £240,906 over the last year (15% increase).

House Prices in Grange-over-Sands – average price of £288,080 over the last year (9% increase).

House Prices in Arnside – average price of £344,346 over the last year (16% increase).

House Prices in Silverdale – average price of £315,660 over the last year (7% decrease).

House Prices in Carnforth – average price of £247,354 over the last year (8% increase).

Remember, if you would like to have a FREE professional valuation and market appraisal of your property, please Contact Us and we’d be happy to arrange an appointment to come and meet you at your property.

It was feared that HMRC’s end of the reduced Stamp Duty Land Tax in September would slow down the national boom in property sales but this proved to be unfounded with little or no impact on sales both here in the North West and nationally, with only London experiencing any reduction in sales and average house prices.

“Looking ahead to 2022 there is definitely strong buyer demand.” Comments Paige McNaughton, Sales manager at Milne Moser. “We are continuing to receive a lot of enquiries from buyers looking for their next move up the property ladder and determined not to miss out on the right opportunity when it appears in the new year.”

“There are a number of buyers who have been closely watching the property market over the last 12-18 months and have been reluctant to commit when there is such a buying frenzy going on, but these people are now looking at the next few months when the market is predicted to be returning to some state of normality.”

The phrase ‘buying frenzy’ is one we have heard frequently during 2021 and to underline the point, even Rightmove have published some eye-opening figures including one that states: “At present [December 2021] 7 out of 10 properties advertised on Rightmove are currently marked as sold subject to contract, compared to just 3 out of 10 in 2012.”

Rightmove and others are predicting a more modest 3%-5% increase in average house prices in the year ahead and, based on the rise in property valuation requests, anticipates that there will be a rise in housing stock coming to the market in early 2022 with “more buyer choice boosted by previously hesitant sellers now gearing up for a New Year move.”

Estate agents across the country are reporting much lower stock on their books – a year ago, the national average was 28 properties, and it has now halved to just 14.

“Sales are being agreed very quickly and, typically, the ‘chains’ are being kept moving so that purchases can be completed in good time.” Paige concludes, “Our advice to anyone considering selling their property is to make it a priority in 2022 whilst there are still plenty of buyers ready and waiting, many of whom have finances and mortgages already in place and are ready to move.”

The residential lettings scene continues to follow similar trends to property sales, as Kate Ridley, Lettings Manager at Milne Moser explains: “Demand for rentals continues to be very high in our region and not just in towns like Kendal or Carnforth where renting has historically been more common. Prospective tenants have been in touch seeking larger family homes in Arnside and Silverdale.”

Some might suggest that these locations have been inspired by the BBC Winter Walks series, specifically one episode with broadcaster and radio DJ Nihal Arthanayake who explored Arnside and Morecambe Bay, taking in Arnside Knott and Arnside Tower along the way.

“Letting a property remains such a good investment for owners with potential for strong returns for their money and the added bonus of their bricks and mortar rising in value for when they wish to sell in the future.” Adds Kate

“Our fully managed letting service continues to be the favoured approach for the majority of our landlords, with the ‘let and forget’ service providing them with a hassle-free solution which suits their circumstances.”