Janaury 2024: New Year, New Move: Unveiling Surprises in Home Transitions

Mon 01 Jan 2024

New Year, New Move: Unveiling Surprises in Home Transitions

People move more often than they expect to, one of the findings revealed in the recently-released Property Academy Home Moving Trends Survey. - While just 23% of home movers expect to move within the next six years, the reality is that one third are likely to. This rises to 43% of first-time buyers anticipating they will stay six years or less, with just 37% staying this long in reality. - 31% anticipate their new property will be their 'forever home', while only 28% actually ended up staying over 20 years. - The primary reason cited for selling a property was downsizing (18%), followed by upsizing (16%) and a change of scenery/ lifestyle (15%).

DID YOU KNOW?

1) The Bank of England held the bank rate at 5.25% in their November 2023 meeting. Interest rates, through mortgage affordability, are a key determinant for the residential market outlook.
2) Consensus forecasts compiled by HM Treasury suggest that interest rates are at their peak. Year end forecast for the bank rate for 2023 is 5.3%, then forecast to fall to 4.7% by year end 2024.
3) Swap rates give us a good indication of changes in mortgage costs – reflecting the cost of borrowing for lenders. 5 year swap rates reacted well to the Bank of England decision, now at their lowest level since May 2023.
4) The market is still adjusting to higher interest rates and mortgage approvals remain low, but with interest rates at or close to their peak improvement in sentiment should be evident from Spring 2024.

HARROW OVERVIEW

1) Over the last 12 months, the average rent achieved for homes let in Harrow was £1,664 per month.
2) 74% of homes let in the past 12 months were flats, achieving an average rental value of £1,548 per month.
3) About 27% of renters in Harrow are between 25 and 29 years old, with the average age being 33.
4) In the past three months, property sales reached an impressive £200 million, with flats accounting for 38% of the total value.
5) The highest value recorded by the Land Registry over the past 12 months was £1,700,000 for a flat and £4,500,000 for a house.