Archive for January, 2014
Latest research from Halifax, Britain’s biggest mortgage lender, has shown that house prices are predicted to grow at a rate of £13,500 this year alone, meaning that the average UK property will be valued at £187,000.
With property prices rising by £10,000 on average last year, this year is expected to see property price increase even higher, and like that of 2007, Halifax are expecting a further property boom in the UK.
However, it’s not all good news from the lender, Halifax also expressed a concern that the market is currently ‘volatile’, and they also found with independent research that 51 per cent of people asked believe that 2004 is the best time to sell a property, as opposed to just 39 per cent believing now is not a good time to sell.
Our belief is that now is a great time to sell your house, and we are paying more cash for property than ever before. Our offers are outweighing all cash buying companies in the market, and whats more, our service is completely free. Find out how much we will pay for your home now for a cash price. Just enter your postcode in our system!
Buyer confidence is back in the market place, and it can be seen with the amount of property that is being sold. The huge concern from most experts is that we are in a property cycle, and most homes are going to be out of reach for first time buyers if the price increase continues. This is especially apparent in the city centers, and in London in particular.
We are already 9 days into January, and already industry experts are looking at how much house prices will increase over the month, however, we need to also realise that prices can’t continue to grow and at some point we will start to see a decline.
Some industry leaders are predicting a ‘housing bubble’ created by the governments controversial Help To Buy scheme, which would lead to a market disaster if it came about.
Nationwide have conducted a study to show that house prices have grown almost double the rate they did last year fuelling the argument that a housing bubble is imminent.
One thing that we often get asked by our customers is whether now is a good time to think about selling their property. Our opinion is that there has never been a better time. If you think about it, because the market is currently at it’s peak, if you sell now you are going to avoid any threat of a bubble and secure a great price for your home.
Selling Your House For Cash Doesn’t A Mean 70% Discount Anymore
When most people hear ‘quick house sale company’ they instantly assume that the company is going to want to take 30-40% of the equity in your property in order to get a quick cash sale. However, this is no longer the case.
In fact, we pay 83-90% of market value every time, and yes that is for cash, and yes, IT IS IN YOUR BANK in 7-10 days time.
If you had your property valued by a genuine cash buying company in the past 6 months and they made you an offer on your home which at the time you though was unacceptable, now could be the time to get a second opinion based on the current economic climate.
Remember, the price of property is currently much higher than 12 months ago, so if you thought about selling for cash then, your offer now could be as much as 20 per cent higher now.
The easiest thing to do is get a free valuation on our website, to see what we would likely pay for your home. You are under no obligation to sell, and our service is completely free every step of the way.
We are now in to 2014, and although 2013 ended on a high with all time property prices rising above expections, the outlook expected this year is not as good, with many property expects expecting a ‘housing bubble’ any time soon.
So what is a ‘bubble’ and what does it mean to the average seller? Basically speaking, a when house prices rise too quickly down to ‘speculation’. The media has been extensively covering the housing situation, especially with the governments introduction of Help To Buy.
The worse case scenario is that once all of the hype and speculation dies down, the property prices will also die with it or stagnate.
If you are selling your property it could mean that you will need to take a considerable discount in order to sell your home. Let’s look at an example:-
Mr and Mrs Smiths property in Colchester valued at £150,000 in December 2012 just before we started to see the housing bubble start. By the end of 2013, the value of their property had increased to £190,000 purely down to demand for the area, and a lack of new build homes.
If there was a housing bubble now, the value of their property would probably sit in the region of £100,000 to £125,000 – as the negative media and doom dwellers would take it below the original price in 2012.
If you are selling a property and you are concerned there is going to be a housing bubble, it is essential that you get the best price for your home, and sell quickly before anything does happen. Of course this is all purely speculation, but a number of property experts have predicted it from statistics, so if you were considering selling anyway, now is the time to do so.