Anyone noticed the market has changed?

[yaxe]

We are in the process of buying (have sold) & it was mad in March, lots of overbidding etc. I've noticed now reductions & stuff is staying on rather than going in a wk. It's making me a bit nervous tbh.

Commented on this to a friend yesterday. I moved in 2021 and my house was sold before the photos had even been taken. Things were flying in and out. Now there's not much around and what there is gets reduced or is just sitting on rightmove. I save local properties on rightmove so I can track progress as I have one eye on a move agajn at some point.

South Manchester suburb.

*Why would supply be increasing that makes absolutely no sense whatsoever, what could possibly cause that ?

In a recession people are gonna want to sit tight because they might not be able to remortgage their current loan - on paper they might not be able to afford their current house even though they actually are, they won’t want the additional costs involved in moving, if anything supply dips so if you think it’s hard to buy a house right now it’s only gonna get worse if you hang on, my advice would absolutely not be to go in to rented.

Wait until you have secured the chain, The actual numbers don’t matter providing you are buying and selling in the same market*

There is lots that I agree with in your post but we need to remember that there isn’t anything such thing as “the property market”; instead there are lots of different market segments all affected by different factors. And I don’t just mean geographically. If you own a 4,000 sq feet detached four or five bed home and you’re facing the prospect of energy bills going through the roof this year, and you can’t really afford to continue all those maintenance jobs that have been piling up, now is the time to cash in your property chips. As you are moving down, there is still a benefit to selling at the top of the market. There are lots of people like this, and they are entirely unaffected by interest rates (aside from getting more income from their investments), recession, valuations or what’s going on with mortgages. They’ve likely not downsized sooner because over the past 18 months they haven’t been able to find anything to move into. This sector of the market is buoyant (just look at the Telegraph stories about it in recent weeks) and supply HAS improved.

Slightly off topic @NashvilleQueen but I do this too! I have a Rightmove account full of saved properties. Really helps me also see what has gone through planning in my area, as I'm likely going to improve rather than move (building costs permitting......)

I've noticed properties staying on Rightmove longer where I am (south east) pricing is still pretty punchy though. In fact the next logical step for us would take us to the best part of a million pounds. Never going to happen, my mortgage would be astronomical. So I feel like it's cooling a bit here, but I imagine there's still a fair few that never make it to Rightmove and my nosy eyes.

If supply has increased at the top end of the market with downsizes and people‘s inheritance being in property, okay that will mean less money sloshing around in the market which we’ve seen an awful lot of over the last two years.

I just wondering for the average person buying the average house which is what 300,000 now if it’s actually really gonna have much of an impact. I’m all for everything settling down I’m looking to upsize in a few years and I have a nice cushion of equity.

I think you are right to be anxious/ cautious. The economic situation has clearly changed and will continue to change for the worse. People are starting to realise this (belatedly). Perhaps some EA and sellers still haven't realised still though.
Are you upsizing and anxious about taking on a large mortgage or is your situation different?

Tbh I have already reigned back in on what I wanted as I felt things were looking a big dodgy a few months ago. We are not upsizing quite so much so we are not borrowing as much. However it's still a worrying time & we will be overpaying & saving as much as possible

That sounds sensible. Totally agree that it is a worrying time. We all have to hope that our jobs are secure.

If you have quite a high deposit, say 60%, do you think that would make you more attractive to sellers as it should mean you would avoid being stung by the property being down-valued?

Yes I think it’s always a good sign if buyers have a large deposit. Less likely to be affected by a low valuation for one thing but it also just makes it seem that the property is more affordable for them if they have a big deposit

Personally I quite like having the bank to blame if a down valuation comes through, I mean it’s not your fault then is it if bank won’t lend it it can’t be worth it and they’re going to the say the same to every other potential purchaser that needs a mortgage not just you. I wouldn’t want a vendor and Estate Agent to know that I’ve got a walloping great 20% cushion in the bank for them to potentially get their hands on.

If you have quite a high deposit, say 60%, do you think that would make you more attractive to sellers as it should mean you would avoid being stung by the property being down-valued?

Yes

Not yet.

For once, I agree with you.

This popped up on the news this morning. Haven’t read it yet.

@NashvilleQueen whereabouts are you out of interest?
Altrincham, Timperley, Sale the usual suspects properties still flying off.
slowing down in places like Droylsden.
We’re looking at the Stockport area and the bit between like Hyde and Denton.
What’s on has been there for a month, well prices properties are still flying off the shelves.

https://www.theguardian.com/business/2022/jun/20/house-prices-in-great-britain-hit-record-high-but-falls-predicted-in-2022?CMP=ShareiOSAppp_Other

I feel like the media have been running the same headline every month for the past 4months

yes, you may even say even longer than that - interestingly there was an article here of 2021(the Times I believe) which said exactly the same... just before the crazy price increases.

The Telegraph have also been predicting a fall in property prices for months & months now

I think the uncertainty re cost of living and interest rates means not much is coming to market and that's artificially inflating prices.

I wouldn't move now unless I really had to or was downsizing.

With interest rates going up the cost of having a mortgage is increasing so this is likely to slow down the market.

They have and the forecast conditions that would make it happen are starting to happen now.

No change here

Still upwards of 50-60 enquiries per property

Still properties being sold before they are even marketed

Not allowed to view unless STC

Still "offer over" and "guide price" expectations are minimum 10% bid above listed price

The estate agents I spoke to reckon there is still so many people who have sold but still looking to find that the momentum will carry on for a long time as there is a backlog of chains to get moving. Would take a recession and serious price crash to stop things but they have said they don't expect a fall in prices as demand still so high.

Literally that there’s another thread full of screaming banshee‘s who are convinced that the sky is going to fall and we’re going to have a recession but I do think Mumsnet lives in a bit of a bubble at times and you have to remember that there are the majority of homes in the hands of people who don’t even have mortgages so they’ll be unaffected by all of this.

I would say the majority of my peer group in their 50s don’t need to work any more they do for something to do but if they stopped work tomorrow there would be nobody starving.