Moving home Conveyancing Jan 2023
As we step into 2023, it feels like the property market has hit the perfect storm.
Mortgage rates have risen, and there is a widespread belief that house prices will drop this year.
With the typical home costing roughly nine times the average UK annual salary, that may not necessarily be bad - especially for those hoping to get on the property ladder.
But for homeowners who saw the value of their properties grow substantially during the pandemic housing boom, seeing those gains potentially fall away will be a concern and leave them feeling they may have missed the boat.
Mortgage approvals for house purchases fell by more than 10 per cent in October, according to the most recent figures from the Bank of England.
Property portal Zoopla has claimed that buyers are waiting to see what the market holds in early 2023. The number of agreed sales is down by 28 per cent year-on-year.
Rightmove predicts a 2 per cent drop in average asking prices in 2023.
But it’s not all doom and gloom. For people looking to buy their first home, a dip could give them the opportunity to afford their new home.
And we always need to take forecasts with a pinch of salt. Remember when we were predicted to have a massive slump at the beginning of the pandemic? No one could have forecast the astounding rate of acceleration in the property market.
People are also returning to cities as working from home is becoming more hybrid. This could potentially free up homes in Devon and Cornwall and, with the drop in house prices, make it more affordable for local people.
In conclusion, whilst it may feel like a more precarious time to move, if it’s the right thing for you and/or your family, then you should still explore this. Property is an ever-growing market, and everything is relative. If your house price drops, so will the property you are looking for.
Most importantly, have sound legal advice throughout. Our conveyancing team can help you from the moment you want to start considering moving, remortgaging or buying.
