Is the market really on a downturn!?

[PoppyP19]

I keep hearing that the market is on a downturn and everyone should be cautious about the property they are purchasing at the moment but I’m struggling to find anything!

Properties in the area I am looking at are snapped up within days. I am viewing a property on the weekend which was booked 3 weeks ago, EA too busy to give us a viewing before now!

What is everyone else’s experience?

We have struggled so much trying to find something that we haven’t put our house on the market yet. Our neighbours sold at first viewing and my cousin has sold their house but still not found a property to move into so all seems a bit of a mess!

As always, the location is key. In a small SW village, all the nicer 3 and 4 bedroom family houses have suddenly sold and there is nothing on the market between £1.2m and £565k. As we're talking about moving, estate agents that I have spoken to in the last 2-3 years are ringing me to ask whether we are ready to sell yet. There are buyers waiting to pounce apparently.

Houses have decreased by over 10% on our street in the last two years. I think this is partly fuelled by five new housing estates that have been built in the village in the last few years. Supply has outstripped demand (and they want to build more!).

Dh is selling his mother's ramshackle town cottage as she is now in a nursing home. Not an expensive property by any means, but because it is right in the centre of a country town (with parking) it has had offers - before even being put on the market.
Three cards through the door "we know x has gone into care, are you considering selling".
The place is falling down! So would say, as always, location matters.

You are so wrong. Clearly you don't understand how inflation works

I bought a flat in Glasgow 20 years ago which is now worth half what I paid (perfectly nice flat but lots of repossessions in the development it’s in)

so property does not always increase in value!

I think so, the cost of living has also had a huge impact as people realise that the upsizing dream is now just unaffordable and are staying put.

Definitely seems to be in the midlands, we have been looking there and while there isn’t much on the market, many of the properties have been for sale for many months, some nearly a year. Many have been reduced by about £50,000. Agents tell me many people can’t sell their own house so can’t proceed even if they find one they like. As first time buyers we are proceedable and people have been falling over themselves to show us round, but there is just not much to buy.

Not a great situation really. It does make me a bit nervous that we might buy just before prices make a big correction. I think a correction is needed but having been renting for so long I don’t want to be on the wrong side of it 😂

Sounds like a good time to be a FTB in your area @Inyournewdress

I wouldn’t wait too long, just as long as it takes to find a nice house you can afford. It’s impossible to guess the exact top or bottom of the market.

Agree that you cannot time the market but all the while that prices are rising (or negatively rising!) less than best easy access interest rates, you can comfortably delay.

If possible, I would work out what home I would like to buy and how much the repayment mortgage would cost, and then start saving that in my easy access account each month along with any deposit.

Yes but by the time everyone realises prices are rising they have already risen. So I wouldn’t bother trying to time the market personally if what I was buying was a family home not an investment.

There is no hurry though, not much chance of house prices rising any time soon. Just more stagnation I expect.

I live on the coastal SW and have reasons to be interested in two areas. Both are very slow selling. Very.

I also still follow the agent my DS bought from nearer the midlands. When he gets fab properties on they get offers quickly which he likes to trumpet on SM...some go under offer and some don't. So, presumably some of these offers are not all that close to asking. Whereas when my DS offered in 2024 most homes (even not so good ones) were going relatively fast for close to asking prices.

My DD works in and EA in a coastal town in the North. Their sales department is flat out. She says it's very very busy indeed.

So definitely location dependent

We're just in the process of getting ours on the market (North West) estate agents have said the market has slowed after the stamp duty changes on 1st April but the market is still good. Some houses are on the market a while, must be pricing, as others are getting snapped up such as a farmhouse with 6 acres on for £570k and going to best and final offers within 2 weeks of being on the market. Lots of local estate agents on facebook showing houses are selling in days so i think certain properties at realistic prices are still selling.

Anyway we'll soon see as ours is due to hit rightmove on Monday

I'm in the industry, conveyancing

Jan- early March was absolutely insane. We still had new clients coming in mid March asking if we could beat the stamp duty deadline. It's been the most profitable and buoyant start to the year I've known for a long time. April new client numbers are lower, and May lower again. So the amount of people getting offers and instructing solicitors is slowing (this isn't just my firm, it's industry wide) estate agents that we work with say houses are going on, example in my local authority area 63 new homes listed from tuesday-today but its taking longer to sell.

We're expecting things will rise again over the summer but it feels slower this month than I've seen it (we are a national conveyancer)

The market seems to have gone mad in my area.

This time last year I was looking to buy a 4 bedroom detached house in a particular area. There were 5 on the market for around £450k, which had all been on the market for weeks/months. The vendors were basically fighting it out to get me to buy theirs. I chose one of them and moved in late last year.

Now looking on Rightmove there are no equivilant houses on the market. Occasionally one pops up, with asking price of £475k or more. It will then go SSTC within days.

So glad I bought last year. Much more competition and higher prices this year.

It’s driving me a bit mad now! Ours is ready to go on the market but what is the point if we can’t find anything to move into? I’ve started looking at land and building a new house but that’s even more complex living on the green belt. I’m on all local EAs email system, I’m getting email notifications from zoopla, rightmove and on the market. I’m even on all of the Facebook pages.

Well little update from me, short video coming to the market video went on facebook at 1 and i've already got a viewing booked. Fingers crossed for more.

We have found something that we like but if we can't get it there's not a lot on that we like so i now how you feel about the timing. Its scary sticking your house on if theres nothing to buy

Good point about it being location dependent.

Did you pay 450 or close to the asking price?

Timing is Everything isn’t it?

It very much depends. Where I live, houses will go to closing date within a week or two and then sell for 20% over home report value (the amount mortgage providers will lend on). Flats are more variable but still sought after if nice.