Housing market after the election

[FutureFeelsBleak]

I realise the ink is still wet on the ballot papers, but what is the general consensus over what a Labour gov is likely to mean for the market? Things stopped moving here (Surrey) at about the time we went on the market, so I'm hopefully that things will pick up again now.

We live in Suffolk 7 weeks now on the market 1 yes just one viewing, estate agents have told us they haven't ever seen the market this quiet even those on their lists are now saying they have stopped looking.
One agent said when Reeves gave her first doom gloom and its goint to get worse statement, viewings fell off a cliff.

Seven weeks and only 1 viewing means it must be overpriced. Houses are still selling in Suffolk according to LR data. I think it's just agents and sellers struggling to come to terms with affordability for buyers now that borrowing costs have normalised.

I think your agent is partly making excuses @Ambledown

Blaming Reeves instead of looking rather closer to home and the fact that they obviously overvalued your house hence 7 weeks with 1 viewing.

You need to reduce it by at least 5% to try to generate some interest. Possibly more since it must be very overpriced to get that little interest on a new listing.

If interest rates are the issue, God help you mortgagees if rate goes upto 16% as it did when I was getting on the housing ladder.

I agree with this. Unfortunately, agents just don't seem to realised that things are different compared to the red hot market in 2021 and that most potential buyers can't afford current prices and/or are worried about their incomes/ job security or are being declined mortgages.

to have realised.

The problem isn't interest rates but house prices relative to incomes. When rates were 15% briefly, house prices were far lower compared to incomes.

I don't think it's so much interest rates per se that is the issue, it's more affordability.

It's much harder for young people to get on the property ladder these days than back in the late 80s when my partner and I bought our first flat in London while holding junior positions in the public sector.

The sort of flat we bought in an "up and coming" area would not be accessible now to young people holding average paid jobs.

This old chestnut! 🙄

Did your first home cost you 10 x your salary? No I don't think it did.