2024 has seen a slight rise in house prices. “Which” however, have confirmed that high mortgage rates have stubbornly stalled any aspirations for a higher increase in housing values. While, the Land Registry have released their figures on property prices, indicating a 2.9% increase in house prices.
As the year draws to the end, the main concern we now turn to is, what will happen to the property market in 2025. Will there be a similar slow rise, or will there be a decline in prices? Should I keep waiting to buy a home or jump at it in the New Year?
Knight Frank, a renowned national Estate Agent, expects growth of 2.5% in 2025, 3% in 2026 and 3.5% in 2027. They have claimed that borrowing costs have increased dramatically since the Budget and that there would be a lot of pressure on prices, slowing the volume of transactions in the immediate term.
Traditionally the New Year is a time when the market begins to gear up for a busy year. Whether that be families who have finally decided that their space is too small, and they need to upsize; or families who are splitting up after the holiday festivities and their home now needs to be sold.
The prospect of a fresh start in the New Year is always an uplifting one. First- time buyers looking to get their foot on the housing ladder may discover some good deals in the New Year because of this market movement.
Whatever your situation may be, at Wright Hassall, the Residential property team play a pivotal role in helping their clients navigate the property market no matter how unpredictable the forecast may be in 2025.
