Property market update how did 2016 end?
2016 was a particularly interesting year for everybody with the results of an election, a referendum and the passing of many beloved celebrity icons. I don’t think that anybody is sad to see the back of 2016 that’s for sure. Now the decorations have come down and the left over turkey has been polished off it’s time to look to the year ahead. So, where does the property market stand going into 2017?
- The asking price of properties coming on to the market fell by 2.1% in December, in line with the seasonal trends of the last six years.
- Also in December, there was a decrease in the asking prices in the North-West of 1.8% (-£3,255) to £175,857. However prices are 2.7% higher than they were in December 2015.
- Rightmove has forecast a 2% increase in house prices for 2017 which if fulfilled will be the seventh consecutive year of rising prices.
National property prices
The year finished with a slight dip in the asking price of new properties coming on to the market. The average property price across the country saw a decrease of 2.1% (-£6,511). This is the sixth year in a row at this time of year values have been down and therefore is not nearly as shocking as some of the other results we saw in 2016, not mentioning any names…ahem…Donald Trump.
Nine out of the ten regions recorded annual price rises at an average increase of 3.6%. Greater London was the only region to report a downward annual growth, down 0.1% from December 2015.
North-West property prices
In the North-West prices have been slightly more resilient to that of the national average. A decrease of 1.8% in December means that at the end of 2016 the average North-West property was worth £175,857, which is 2.7% higher than in December 2015.
Forecast for 2017?
The forecast for 2017 appears to be positive, with Rightmove predicting a 2% growth in house prices. The number of visits to their website was up 9% in November 2016 from 2015, from 101 million to 110 million visits. This increased level of activity goes some way to explaining the considerable rise in sales agreed across the country which were 5.2% higher than the same month in the previous year.
Taking into account the state of shock post referendum, the number of sales figures agreed is quite exceptional. Demand for housing remains undiminished and this is partly due to the willingness of banks to lend money towards mortgages. Meanwhile as supply levels continue to dwindle significantly below the level needed, it is likely the competitive nature of the market will mean house prices will remain steady.
Withington branch manager Antony Waring commented, “The property market is resilient and even with everything that is going on politically across the country at the minute Manchester is an exciting place to be. The number of sales agreed continues to increase and the enquiries have been pouring in. We have been instructed on several new developments recently and are all excited for what is sure to be a busy and successful year ahead.”
If you are looking for a new home in 2017 and would like to find out some more information on any of our new developments that we have to offer, click here, or get in touch with one of our friendly team, or pop into your local homes4u branch.