Rickitt Partnership

The UK Housing Market

Tim Rickitt, Managing Director of Rickitt Partnership estate agent in Cheshire, examines some of this year’s property market predictions for you.

Buying a house is a decision that requires a great deal of consideration – top of the list are your personal motivations whether you need more space, a bigger garden, to be within the catchment for your preferred school; or you simply want a change.  Whilst your personal concerns will always be the driving force behind moving house, it is always sensible to have at least an awareness of what is happening in the wider housing market.
a townhouse for sale in Chester with Rickitt Partnership
A city centre townhouse 
a country cottage in North Wales for sale with Rickitt Partnership
A country cottage

Constrained Buoyancy in the Housing Market:

Examining the data and research that is available it does seem that property prices are continuing to rise in the UK in the second half of 2017 but at a relatively modest pace.  Despite the economic uncertainty caused by the election, there is still constrained buoyancy in the housing market.  Property prices in April, May and June were 0.2% lower than in the first quarter of the year, however, they were still 2.1% higher than in the same three months of 2016. Tim explains that there is a context to this year on year growth
"There is no doubt that the property market felt the impact of the change in stamp duty in 2016, so any rises this year do have to be considered within that context.  We are also seeing a limited supply of homes on the market which is helping to sustain a growth in property values.” 
period style city centre apartment for sale in Chester with Rickitt Partnership

An apartment in a period property

Property Sales in The North of England tell a Positive Tale:

Industry figures show that property prices in the North of the UK have risen by 11% compared to 3% in the South.  It is also interesting to note that the new homes market is still growing – housebuilders Berkeley saw profits jump 53% in the year to April 30 with their profits reaching £812.4 million.
A contemporary city centre apartment development
So the property market certainly seems to be holding its own despite predictions of a turbulent year at the start of 2017.   In addition, let’s not forget that the trend of lenders being willing to lend at low mortgage rates, combined with The Bank of England maintaining interest rates at 0.25% will continue to support house prices.  Most economists believe that interest rates will remain the same through 2018 at least.  All in all, it seems fair to say that house prices are on track to show a modest growth year on year of around 2%.  In summary, it is a pretty robust year to be putting your house on the market as demand is still outstripping supply.

About the author

Tim Rickitt

Tim Rickitt

Tim has nearly 30 years experience in the residential property market. In that time, he has worked in the areas of Cheshire, South Manchester, Shropshire, Wirral, North Wales and London. Over the years, Tim has spent the bulk of his career based in C…

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