Here at Madeleine Hicks HQ we have a problem. The good news is that it may not be unique to us. The bad news is that it’s nation-wide: There are more buyers than sellers, especially in the entry-to-mid-range property market.
With housing affordability the best it has been in over a decade, what the heck is going on, you might ask? Why are there not enough houses for sale to meet the continuing strong demand?
Well. Here’s four factors influencing the market at present:
- The season
- The budget and rattled consumer confidence
- Interest rates
- The economy
The first one – the season – is a much documented pattern: sellers typically hesitate to list properties with the approach of Winter and burst forth come Spring.
The second factor – the budget and consumer confidence – is more complex and destabilising and who knows just what the end result will be, but, given the budget impacts those already most marginalised, it’s sadly possible that many of these folk have more pressing concerns than securing their next property deal.
As for interest rates, they are the lowest they’ve been for ten years, so affordability is still a green light. And thanks to this post-budget nervousness, the longer consumers remain rattled; the longer interest rates will remain stable.
And finally, the economy: depending on whom you listen to, we’re either on the verge of a national-debt-induced-crisis, or things aren’t all that bad if you compare our debt levels to many other nations, but refer again to point two (the budget) and cue nervousness…
Yet, whatever your political views are, the problem comes down to a basic economic principle of ‘supply and demand’. And when (housing) supply is short, demand goes unmet. Or to put it into more human terms; for every home listed for sale, there are buyers competing. And there are buyers missing out…
So, if you’re one of those unlucky enough to have missed out on the home you’d set your sights on (or even a few properties) then, it’s not all bad news. Contact us and we’ll add you to our ‘Sneak Peek’ list where you’ll be emailed properties as they get listed with us, and most importantly, before the wider-market gets notified.
And for those of you thinking of selling, now might just be a good time: demand is strong and that’s a good indicator to getting the price you’re aiming for.
Thinking of selling? For an in-depth discussion of what you could expect in the current climate and a free Comparative Market Analysis of properties similar to yours contact our office and talk to one of our great (not just good), but great agents.