Published: 12/02/2024 By Amanda Hunt
According to Zoopla, buyer demand now 11% higher than last year.The first weeks of January got off to a strong start with activity spurred on by falling mortgage rates and pent-up demand from the second half of 2023; and this momentum has been carried into the first half of February.
At a headline level, buyer demand is running 11% higher than this time last year. Buyer numbers are up across all parts of the UK but London is firmly out in front, followed by the North East and North West regions. London’s housing market has lagged behind the rest of the UK for seven years since 2016 with low levels of house price growth due to stretched housing affordability.
The average value of a flat is just 13% higher than in 2016, compared to the UK average house price being 33% higher, therefore better value for money is improving the prospects for London.
A healthier market with more sales agreed
One of the best ways to assess the overall health of the housing market is to look at the trends in the number of sales being agreed. The fact that there is almost a fifth more homes for sale than a year ago is helping, providing buyers with more choice and boosting the chances of sales being agreed. Latest data shows sales agreed are up across all regions and countries of the UK and more than 10% higher in six regions led by London, the South East and Yorkshire and Humber.
Increasing demand and sales bring more sellers into the market
Improving market confidence is bringing more sellers into the market. We have seen an increase in the number of new homes being listed for sale. The flow of new homes for sale is 10% higher than a year ago and the highest it’s been since 2020. New sellers are listing their homes at the fastest pace in the East of England, the South West and North East.
All in all, a very positive start to 2024!