Over the past year, we have increasingly found ourselves dealing with a seller’s market. By the end of 2020, the average house price in the UK had increased by 8.5% compared to the previous year, and it didn’t stop there. June saw us enter the busiest-ever housing market for sellers and buyers, followed by October reaching record-high asking prices. Now November has seen prices start to dip, let’s take a look at what’s been happening in recent months and what we can expect for the future.
Record highs in October 2021
The property market has continued to soar, and with buyers eager to snap up any properties that appear, demand has far outstripped supply. This drive was first fuelled by the market reopening after lockdowns and stamp duty holidays, which then lead to a shortage of stock.
Despite things returning to some level of normality and the Stamp Duty Holiday ending, the market has struggled to replenish this stock. This has meant that the number of buyers has continued to exceed the number of properties for sale. Consequently, asking prices have continued to increase month on month, with October seeing all regions across Britain hit record highs.
Reaching an average of £344,445, asking prices jumped by 1.8% (+£5,983) which is the biggest national rise we have seen in October since 2015. This is also the first time since March 2007 that we have seen record highs across all regions in the same month for all property types, from 2-bed terraces to 4-bed detached houses.
Along with a shortage of houses, buyers have also been eager to get their mortgage rates secured. There has been speculation of an increase in interest rates, which would also mean an increase in mortgage rates. Although nobody can predict exactly what is going to happen, buyers want to try and avoid this potential increase and make the most of current offers.
November sees national drop in asking prices
After taking such a huge leap, Rightmove has now noted that the average asking price has fallen by 0.6% (-£2,044) to an average of £342,401. But despite this being the biggest drop since January 2021, this is still 6.3% higher than what prices were a year ago, meaning it’s still very much a seller’s market.
This seasonal dip is typical of November. Families are preparing for Christmas and are reluctant to buy as they don’t want to risk moving during the festive period. The shorter days and colder weather are also known for deterring buyers from venturing out for viewings. As such, sellers coming to market usually price their properties competitively to attract potential buyers.
What about Telford?
According to Rightmove, asking prices in the West Midlands have now dipped by -1.2%. However, here at Coleman Estates, we have yet to notice this change and the October highs have continued right through the whole of November.
In fact, of the sales agreed by Coleman Estates in November, 80% have sold at asking price or above, with the property market looking very strong for current and potential sellers.
With this in mind, now is a great time to get a head start and make the most of the current market. Get your property valued now so you know what it could be worth and take your photos before putting any Christmas decorations up. This will avoid them looking dated come January, making your property as attractive as possible to the new wave of buyers in 2022.
And with the festive season fast approaching, now is also a great time for any serious buyers to start looking. There’s still a shortage of stock, but with less competition around, you’ll have more chance of snapping up the property you want.
Shropshire properties in the West Midlands
The average asking price for a property in the West Midlands hitting £259,940 in November 2021, which is over 30% less than the current national average. This makes it a popular choice for those looking to move away from the cities, offering buyers larger properties and more for their money. For anyone interested in moving to Shropshire, Telford is an excellent choice for families and individuals alike.
Created in the 1960s by merging several smaller towns, it gives you the best of both worlds with excellent transport links to cities and easy access to the countryside. Meanwhile, the town centre offers plenty of local amenities and there are loads of fun things to do right on your doorstep.
If you want to learn more about Shropshire or need help deciding which area of Telford is best for you, get in touch with our friendly team. Their local expertise will help you narrow down your search so we can find the right property for you.
Telford’s best rated estate agent
From record highs since 2015 to the biggest dip all year, the past couple of months have been a rollercoaster for both buyers and sellers nationwide. Whichever stage you’re at, our team are on hand to offer the latest advice and help you find your way through this fast-paced world of property. Get in touch to find out why we’re Telford’s best rated estate agent.
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