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Writer's pictureConrad Binding

September Sales & Lettings Market Insights



2.2% UK house price growth year to July 2024: Source ONS experts believe this quarter's figures will be higher


Economy


  • The Bank of England held interest rates at 5% in September, with an expectation that they may be cut in November.

  • Monthly GDP is estimated to have shown no growth in July 2024, after also showing no growth in June 2024 (ONS).

  • CPI inflation rose by 2.2% in the 12 months to July 2024, up from 2.0% in June 2024 (ONS).



90,630 Transactions in July 2024: Source HMRC experts believe this quarter's figures will be higher


Transactions


  • There were 90,630 transactions in July, a 5% rise compared to a year earlier (HMRC).

  • The agreed sales metric in the latest RICS' survey posted a net balance reading of +6%, modestly higher than the figure of -1% seen last time.

  • The number of sales being agreed is 23% higher than a year ago (Zoopla).


House prices


  • The average price for a property in July was £289,723, up 2.2% year-on-year (ONS).

  • Average new seller asking prices rose by 0.8% this month to £370,759, double the long-term average September price increase (Rightmove).

  • 2.0% house price change is now predicted through 2024, up from -2.4% this time last year (HM Treasury Average of Independent Forecasts).



8.4% UK rental price growth year to August 2024: Source ONS, PIPR experts believe this quarter's figures will be higher


Investment/lettings


  • The number of homes available for rent remains a quarter (24%) below the pre-pandemic average (Hometrack).

  • The average UK rent rose by 1.3% in August to £1,325, 5.1% higher than the same time last year (HomeLet).

  • Void periods lengthened to 15 days in August, up from 11 days in July with Greater London the only region to see a reduction (Goodlord).



61,985 Mortgage Approvals July 2024: Source Bank Of England, lenders have already stated YTD & MTD. This has already increased.


Demand


  • There were 61,985 mortgage approvals in July which is 26% higher than a year ago (Bank of England).

  • The reading of new buyer enquiries in the latest RICS Residential Market Survey was +15%, the most positive since October 2021.

  • The number of new sellers coming to market is 14% above the same time last year (Rightmove).


Development


  • Just under 240,000 new homes were built in the year to the end of Q2 2024 . This represents a -1.8% fall quarter on quarter and a drop of -4.9% compared to the same quarter last year (MHCLG).

  • The headline construction PMI in July grew at its strongest rate in over two years, amid optimism surrounding Labour’s proposed reforms to planning laws (S&P).

  • Build to Rent completions are now running at over two and a half times the average for the period 2017-19 (BPF).



Prime markets


  • There were 8.7% more transactions in PCL in July 2024 than in July 2023 (Lonres).

  • There were 11.1% more properties on the market across PCL at the end of July than a year earlier (Lonres).

  • 33% of purchases were made with cash in the year to April 2024, down from 35% a year earlier (UK HPI).


 

What's happening in the Barry sales market?



Barry Sales Overview


  • Over the last 12 months the average sales price in Barry was £211,110. The total value of sales was £106,396,617.

  • 15% of sales in the past 12 months were flats, achieving an average sales price of £138,277. Houses achieved an average price of £226,937.

  • The highest value recorded by the Land Registry over the past 12 months was £380,000 for a flat and £685,000 for a house.

  • Over the last three months, £19.2m Total property value was sold.

  • 504 total transactions in the last 12 months


Top transactions over the last three months


£685,000 Old Village Road, CF62

£675,000 Marine Drive, CF62

£515,000 White House, CF62


 

What’s happening in the Barry rental market?



Barry Lettings Overview


  • Over the last 12 months, the average rent achieved for homes let in Barry was £851 per month. This is a +7% change on the previous 12 month period.

  • 55% of homes let in the past 12 months were flats, achieving an average rental value of £754 per month. Houses achieved an average rent of £1,028 per month.

  • 25% of renters are aged between 25 and 29.



 

£1.05bn Value of sales in Wales over the past three full months



4,724 Volume of sales in Wales over the past three full months



 


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