Most house sellers yearn to gain the highest profit from their sales. At the same time, the process of selling a house can be extremely time-consuming. This makes finding a good deal quite challenging.
Right now, the housing market in the UK is up. Thus, it is the prime time to find potential buyers and tenants, all looking for a dream home. This period is great for sellers and landlords because there is a presence of customers willing to buy and rent at more and more competitive prices. It can be quite the bargaining point that every property owner looks out for.
When a market is up, it simply means two things- the demand levels are high, and supply is low. There are more buyers actively willing to buy than sellers trying to sell.
Are you someone looking to let, sell or buy property in the United Kingdom? Then you can opt for estate agents in the UK to book a free no-obligation sales and lettings valuation to help you out with your property deals.
In this article, we will discuss whether the market is up right now, and how landlords willing to lease or sell their properties can derive the maximum benefits of the rising prices.
What is The Current Situation In The Housing Market?
According to the House Price Index from Halifax, there has been a growth in the annual UK house price of 10.8% in February 2022. This also translates to a rise in house prices by £44,138 since February 2020.
In May 2020, the Bank of England had warned of a potential 16% fall in prices as a result of the pandemic’s impact. Despite this, in 2021, house prices witnessed a record surge due to the “stamp duty holiday”. This temporary arrangement was enforced by the UK Government in July 2020, across England, Scotland, Wales, and Northern Ireland.
What Does It Mean For Property owners Looking to Lease Or Sell Their Property?
2022 so far has shown the demand-supply chain in real estate to be favourable towards sellers, despite the multiple challenges in the past two years.
It means that now considerably more houses are being sold at present than the number of houses available at a previous time frame, like a week, month or year ago. In simpler words, if more people bought houses than sold houses, the market is up.
When you list your house in the market is also a considerable determiner of how quickly and at what price your property sells. In the real estate sector, there are various periods or periods considered the prime ‘seasons’ to sell a property. This is usually late spring to early summer. March is considered the best month if you want to quickly sell your house.
There is a certain level of competition between the buyers as well, which reaps up the best deals for a seller. Thus, the prices of houses are at their highest during this period.
Rental Growth, according to Zoopla’s estimates, reached 4.6% till 2021 September, particularly across the South West, Wales and East Midlands. Forecasts say that in 2022, it will rise by another 4.5%. The rents will also rise above earnings in areas where it is cheaper to rent.
Things To Keep In Mind While Selling and Leasing Out Your Property
Sellers have to adopt a policy of cautious optimism while listing their house, irrespective of whether the market is high or low. Some strategies that sellers and landlords can adapt to get the most out of their property are as follows-
Do Not Overprice
Never overestimate your property’s value. The property might be your most valued possession, but that’s immaterial in business deals. The buyer might follow stringent criteria when observing the particulars, and comparison can be expected. Having a clear idea of the approximate valuation is very important, as overpriced properties do not sell or let easily.
Have All Documents In Place
In the UK, the law mandates an Energy Performance Certificate to be obtained from a DEA. Apart from this, have all the required certifications for your house properly commissioned and arranged for. Also, draw up the contract of sale to issue once the buyer approves.
Strategically List When the Market Is High
How you time the placement of your house on the market affects the ultimate sale. Any seasoned seller would advise that the sooner you sell the house, the better it is. This is because a house left too long on a listing can become ‘stale’, and eventually stop attracting customers.
The Property Should Be In Prime Condition
The fact that when the market is high, you can get more customers should not be taken for granted. Always maintain your home in the best possible condition, and if possible, get a property inspection done to the plot. This will help to bring out any hidden issues, which can be fixed.
If You Are Wishing To Let, Then You Can Allow Lets-With-Pets
In light of the pandemic, the number of people with pets has risen in the past two years. Rightmove’s statistics show that in July 2021, the demand for pet-friendly homes has risen by 120% in a year among tenants!
If you allow pet-owners to rent your property, you will substantially increase your pool of interested renters. This will be highly beneficial for you and make sure you have a good insurance policy and comprehensive reference process to avoid damages.
On An Ending Note
There definitely are promising factors. Property demand in the UK never shows a dearth of customers, due to the limited number of properties gracing the market. You must consult a reliable real estate agency to provide you with the best advice related to property deals.
Real estate agents can detect the way the wind blows when it comes to changes in the property market. You can make good use of their valuable experience to navigate the unprecedented situation facing the property market.