Simpsons Spring Market Overview
The Spring Statement 2018
This year’s spring statement from the Chancellor of the Exchequer was a tale of two reports; Philip Hammond claimed to be “tiggerish” about the prospects for a UK economy on the rebound, while the Office for Budgetary Responsibility sounded more wary, predicting little in wage rises and a sluggish housing market.
House price growth is predicted to be limited to 3.1% per year until spring of 2023, down on its November forecast; this is due to a number of issues, including increases in interest rates and uncertainty about the future. On the surface, this seems like bad news for the housing market…
However, while not great news for home movers, the situation offers a silver lining for people getting on the first rung of the property ladder as prices finally stop outstripping wage increases.
Lenders are predicting an increase in mortgage applications due to a number of factors:
1) More competitive mortgage rates on offer.
2) A reduction in stamp duty in the last budget.
3) Government housing schemes.
4) Fear of imminent interest rate increases.
So we’re predicting some sluggishness in the housing market for home movers but a modest increase in activity among first-time buyers.
A Spring Clean! Some common estate agent myths debunked…
Estate agents have one thing in common with politicians, sharing a place on the public’s list of favourite people to distrust, but not everything you read about us is true (estate agents, that is)!
As we’re on the topic of Spring, it is time for some clearing out, so here are a few of the more popular myths we’d like to set straight, for the record.
Myth 1: Estate agents will say anything to get a sale
Much of our business comes to us from referrals, so dishonesty and sharp practices would soon spread by word of mouth and we’d stop getting business. If you’re looking for the right estate agent for you but you’re still not convinced, you can check reviews online very easily and see what customers say. They are our best advertisement.
Myth 2: Choose the agent who promises to sell your house for the highest price
No. Choose an agent you trust, based on their experience and knowledge of the local market. Promising a high price your home high might sound tempting, but if it’s unrealistic, your house will languish on the market for too long, leading to buyer suspicion and maybe ruining a buyers’ chain you may be part of.
Myth 3: Spring is the best time to sell
Homes do sell in the spring, but they also sell in summer, autumn and winter. Overall, there isn't a best time to sell your home, apart from the time that works for you. Your estate agent should be aware of your timescales and be ready to work hard at marketing your home no matter what time of the year it is. Setting the asking price right is a much more important factor in selling your house. In fact Rightmove states you are 40% more likely to sell your home if it’s priced right!
Myth 4: You need to price your house with space for negotiation
The Internet enables potential buyers to research the local area so they can see what similar properties are selling for. If you price your house too high in order to negotiate down, you may be putting potential buyers off making an offer, leaving your property stuck on the market. Eventually it will start attracting speculatively low offers. Instead, focus on pricing your property on its fair worth.
Myth 5: All estate agents are the same
Not only are individual estate agents different but companies are also too. Look around and find the perfect agent for you - after all this is a big job and you need to have complete trust in the person you choose to represent the sale of your house.
Whether you are buying or selling, entering the property world can be daunting. If you need a partner with experience and knowledge of the housing market in the Abingdon area, then contact Simpsons of Abingdon or simply give us a ring on 01235 520079. We’d be happy to advise you.