Despite the housing market slowing down with uncertainty on the economy, jobs, interest rate rises and Brexit, property prices still grew by 2.5% in the year to September 2018.
Why is that?
As the headline probably gives it away, there is a lack of property for sale on the market at the moment. Keeping prices up. Halifax suggests that the number of properties up for sale is at its lowest level for over 10 years.
Unemployment is lower, meaning more people in work and more people looking to buy a home. Yet, in times of economic uncertainty, people tend to ‘batten down the hatches’ and not move or work on home improvement projects (note to self: expect DIY store profits to rises, expect estate agents to struggle).
We suggest it is a false economy to put off when you sell your home to buy another. Never forget, if you sell at a lower price than you could have got last year, you should equally be able to buy your next home as a similarly lower price. This can work in your favour. In addition, in the long term, the population of the UK is expanding, so demand for property and land will continue. We repeat: in the words of Mark Twain “Buy land, they are not making any more”.