Many people are feeling the impact of the long term under-provision of housing and feel unable to find the choice of property they would like readily available to buy. Unfortunately this has the knock on effect of hindering the flow of second hand property to the market which, in turn, continues to subdue stock levels.
In a demand heavy market the advantages for sellers in terms of property pricing do have their limitations, the hefty price increases of early 2014 are unlikely to be repeated and there is a ceiling to what most people can afford to or are willing to pay for a property.
Sellers are more often than not also buyers of property so any advantage as a seller is often diminished when buying. Whether moving to a larger property, better area or specialist accommodation such as retirement property the price gaps between property types and sizes has widened over the past 10 years.
At the end of the day everyone wants a home that meets their needs, by taking the first step and putting your home on the market you are taking the positive step that will ultimately let you move out and someone else move in. Just because you have put your property on the market you are not obliged to accept any offers. Get a valuation and have the confidence to market your property, it may give the person living in the house you would like to move to the confidence to do the same.
Top reasons to sell first:
- Properties can sell fast so you need to be ready to buy
- Know where you stand with the price of your home
- Adding property to the market helps create positive motion in the property market, and will encourage others to do the same
- If no one puts their house on the market, no one will move
- You could be missing out on buyers now who might not be there in future
Property website Rightmove has reported the busiest January since the site was launched and that the 31% increase in housing transactions in the last two years in England and Wales has outstripped the 11% rise in the number of new properties coming to market.
Miles Shipside, Rightmove director and housing market analyst has commented on the situation. ““For the right property at the right price, demand is outstripping supply and leading to some further upwards price pressure. However there is a limit to what the majority are willing or can afford to pay, especially with the tighter lending criteria. In locations where there is a tight-stock market some different tactics are required for a successful move as competition gets fiercer for quality homes as demand increases.”
“You might think of postponing your moving attempt until there’s more choice available, but the likelihood is you will still have to contend with fewer available properties for sale in the future, unless by massive investment or magic we create more homes to match housing demand. The issue is down to a lack of private, affordable and social housing, and what it will take is a focus on long-term provision to address the nation’s housing needs.”
Tips for a successful move in a tight-stock housing market:
- Sell your property subject to contract before finding a property to buy
- Selling first means you will be viewed as a serious buyer
- Until you have found somewhere to buy make sure the respective conveyancers are taking things at a pace you are happy with and you avoid premature costs
- Follow the same measured pace with your mortgage application and fees
- Property transactions are tending to take longer; surveyors, conveyancers and mortgage providers are all vital to the process and often overbooked so there is time to find
- Don’t feel pressured to buy a home that doesn’t meet your needs because you have a buyer for yours
- If you lose your buyer, we can find you another one
Request a Valuation with one of our experienced Senior Client Managers
Don’t wait weeks for an appointment at your bank to see a Mortgage Advisor, why not speak to Andrew Fagg of Davenport Chartered Financial Planners who is able to provide information on a range of mortgage products from a broad selection of providers. Call 07720 353866 to arrange your appointment at a convenient time and location.