The
average asking price of property in Warrington increased by 3.9% or £7,151 compared
to a year ago, with particularly good demand from landlords and home-movers in
the first few months of the year. This takes the current average asking price to
£189,338, compared with £182,187 this time last year.
The rise
in asking prices is being aggravated by buyers jumping into action looking to
benefit from potential stamp duty savings (especially first-time buyers) or
beat impending mortgage interest rate rises later in 2018. Of the numerous Warrington
buyers starting their property hunting in the usually active spring market this
year, many face paying even more than ever for the property of their dreams, although
as I mentioned a few weeks ago, there are more properties for sale in Warrington
compared to 12 months ago.
Looking
at the different sectors of the Warrington property market, splitting it down
into property types, one can see what is happening to each sector of the market
with regard to their average asking prices now compared to a year ago. Firstly,
looking at the Pound note amounts …
Interestingly,
when one looks at the percentages, the most upward average asking price
pressure is in the terraced and semi-detached property type
sectors, with both first-time-buyer and second-time-buyer properties at new Warrington
asking price highs.
Now,
I must stress this growth in the asking prices of Warrington property doesn’t mean
the value of Warrington property is going up by the same amount ... nothing
could be further from the truth. Only
time will tell if the current levels of Warrington asking prices is a catch-up abnormality
after a couple of months of restrained asking price rises in the first few
months of 2018, or is it an initial sign that we are in for a better 2018 Warrington
Property market than all of us were expecting at the start of the year?
I
believe these asking prices must be viewed with a pinch of salt, as it will be
fascinating to see whether Warrington properties actually sell at these higher asking
prices. Just because house sellers (be they owner-occupiers or landlords
liquidating their assets) are asking for more money it doesn’t mean buyers will
be enthusiastic to part with their hard earned cash. Like my Mum and Dad used
to say to me all those years ago, “You can ask ... but you might not get”.
Also,
Warrington homeowners and landlords wanting to sell their property need to be aware
of progressively strained buyer mortgage affordability and the more those
sellers increase asking prices, the more buyers will hit their maximum on the
amount they are able borrow on a mortgage.
However,
those Warrington buyers who need a mortgage (be they owner-occupier or
landlord), will paradoxically benefit from lower mortgage payments before
interest rates rise … maybe another reason for the uplift in the number first
time buyers and landlords buying? Only time will tell!
Email me on manoj@hamletwarrington.co.uk or call on 01925 235338. If you are in the area, feel free to pop into the office – we are based on G5, Warrington Business Park, Long Lane, WA2 8TX. There is plenty of free parking and the kettle is always on.
Don't forget to visit the links below to view back dated deals and Warrington Property News.
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