As we move in 2024, House Prices remain a key subject with people looking for green shoots after what has been a challenging time.
Reports Summary
The Halifax Housing Report for December suggested that house prices had increased by 1.1% in December and this was the third increase in a row.
It forecasts that in 2024, housing prices could fall between -2% and -4% during the coming year,”, but then went on to say “although, as with recent years, forecast uncertainty remains high given the current economic climate.”
The Nationwide Housing Report suggests that prices remained completely flat in December with an overall fall of 1.8% for the period of Dec 22 – Dec 23. It predicts that both the housing market and prices will remain ‘subdued’ in 2024 (0% to -2%).
Rightmove’s report which concentrates on asking prices, stated that there was a reduction of 1.9% in December. Although it did acknowledge that prices tend to reduce in December, this is still above the 1.5% reduction average over the last 20 years.
It did go on to say The 2023 market was more resilient than many predicted and that There are signs that the more stable market conditions will see more family movers return. Only time will tell.
The Hometrack Report stated a -1.1% in house price inflation, year on year (previously+7.2%), but went on to say – House price falls starting to moderate as sales improve
Summary
Although it’s encouraging that house prices fell less than expected in 2023, to be honest you have to look at this in real terms. When you take into account inflation, this changes the figure significantly. Some have labelled this the ‘Silent Property Crash’
Having said that, we have seen some good levels of demand for all types of scenarios including remortgaging, moving and lifetime mortgages.
Taking data into account such as the average wage, a reduction in inflation and mortgage rates falling, it appears that this is filtering through to demand which will ultimately effect house prices. The data is supporting this, but what effect this will have in 2024, we will have to wait and see.
At Easy Street it’s our job to provide you with the best information and advice possible to help you buy, keep and own your property. If you’re worried about the mortgage market at the moment and you aren’t sure what the best options are for you, we’d be happy to help. Just get in touch with the Easy Street team to book a consultation.
