June Property Market Update
June Property Market Update
As the weather brightens and restrictions ease, the property market in Dorset continues to blossom, while home movers gain confidence and remain optimistic.
For us at Dorset Property, it’s been another busy month, with the huge demand for homes in the Dorset area, both from local buyers and from those relocating from further afield still present.
It’s been as positive throughout the country, and to demonstrate this market activity, the following is a roundup of statistics and articles from across the industry this month.
Prices are on the Up
House prices in March have seen a resurgence, according to the figures collected by the Halifax in its House Price Index, reporting that “on a monthly basis, house prices in March were 1.1% higher than in February”, and that “in the latest quarter (January to March) house prices were 0.3% higher than in the preceding three months (October to December)”.
Russell Galley, Managing Director of Halifax, said: “Following a relatively subdued start to the year, the housing market enjoyed something of a resurgence during March, with prices up by just over 1% compared to February. This rise – the first since November last year – means the average property is now worth £254,606, a new record high.”
There is no doubt that if you’re thinking of selling your home, now is a good time to get a great price. Demand continues to outstrip supply, maintaining house price growth in Dorset and general confidence across the market.
Hidden Equity Revealed
Research from Zoopla has indicated that “almost half of UK homeowners are undervaluing their home, with their properties worth nearly £50,000 more than they realised”.
Zoopla’s inaugural Hidden Equity Survey looked at how much homes had been sold for or had been valued at, against how much people thought their properties were worth. The results show that only “three out of 10 people have an accurate idea of how much their home is worth, with 45% undervaluing and a quarter overvaluing their property.”
It’s always a good idea to have your property periodically valued by a local estate agent, even if you aren’t looking to sell. Most agents offer a free, no obligation valuation service, and this is valuable information to you as a homeowner.
Transactions not Taking a Holiday
HMRC figures show that the “provisional seasonally adjusted estimate of UK residential transactions in March 2021 is 190,980”. This is double the number of transactions in March 2020 and 32.2% higher than February 2021. Additionally, the “provisional seasonally adjusted estimate of UK non-residential transactions in March 2021 is 12,530”. This is 53.0% higher than March 2020 and 24.5% higher than February 2021.
These figures show that the SDLT holiday along with the ‘Lockdown Effect’ has had an undeniably positive impact upon the number of people buying homes across the country.
Location for Renting Divides the Age Groups
The Deposit Protection Service (DPS) released the finding of a survey of tenants who had moved within the six months up to January 2021.
Matt Trevett, Managing Director at The DPS said: “The lifting of Government restrictions on house moves following the first 2020 lockdown led to significant shifts across renting demographics as respondents reassessed their needs during the second half of the year. There seems to be a much stronger demand among younger tenants for properties in towns rather than cities and rural locations, which we believe was partly provoked by more widespread working-from-home policies.”
We have seen a huge increase in demand for rental property across all demographics but the DPS comment identifies a trend we’ve noticed whereby the older demographic tend to prefer rural and semi-rural locations while younger renters are generally opting for more urban environments.
Whether you are a buy-to-let investor, an existing landlord, or a homeowner, the property market remains strong across the county, and now may be time to consider your options.
If you would like to know more about the local market or a particular area within Dorset, call or email; firstname.lastname@example.org, 01305 257357. Additionally, if you need help buying or selling in Dorset then please get in touch.
We’re here to help you get moving.
Added: 9th June 2021