Living in our own homes or owning buy to let property in Warrington and the surrounding areas, it’s often easy to ignore the regional and national picture when it comes to property. As a homeowner or landlord in Warrington, consideration must be given to these markets, as directly and indirectly, they do have a bearing on us in Warrington.
Locally, the value of property in Warrington and the number of people moving remain largely steady overall, although looking across at the different regions, there are certainly regional variations. Talking to fellow property professionals in the posh upmarket central London areas of Mayfair and Kensington, the number of people looking to buy and registering interest with agents is continuing to climb after 18 months in the doldrums, whilst in other parts of the UK, there is restraint amongst both buyers and sellers in some locations.
The things that affect the national property market are the big economic numbers. Nationally, over the last few months, thankfully, the economic forecast and predictions have improved, notwithstanding the Brexit uncertainties. Inflation has mercifully throttled back its high growth seen in 2016 to the current level of 2.1% (from 2.7% average last year), coupled with marginally stronger wage growth at 2.5%. Unemployment is at a 42-year low at 4.2% and UK consumer spending power rose to an all-time high last month to £331.04bn – all positives for consumer sentiment.
Look further afield, a resilient property market depends on the UK's economic health with the outside world, so if Sterling weakens, that makes imports more expensive, meaning inflation increases, and this matter I talked about a few weeks ago in my blog article ... interest rates could be raised to bring inflation under control, which in turn could seriously affect the property market. On the assumption Brexit negotiations are successful, economic growth should continue to be upward and positive, meaning confidence would be increased ... which is the vital element to a good housing market.
Looking closer to home now, Warrington landlords and Warrington homeowners might be interested in the how the regional and Warrington markets have performed over the last 20 years (compared to the National picture). Let’s look at the regional picture first,
...and nationally, Warrington is running in line
with the country’s values
So, what does this all mean for Warrington homeowners and Warrington landlords?
Well, house prices going up or down are only an issue when you
sell or buy. In the last 12 months, only 1,076,288 (let’s call it’s a straight
million between friends!) properties changed hands out of 27.2
million households in the UK in 2017,
meaning only 3.7% would have been affected if property values had dropped in
the last year.
Property values in Warrington are 242.62%
higher than the summer of 1998
Yet this has been a long-term gain. The number one lesson in
property is that it is a long-term game.
The biggest issue in property isn’t house values or prices ... it’s the number
of homes built, because the number of households nationally has only increased
by 6% since 2007, whilst the population has grown by 7.6%. That doesn’t sound a
lot, until you express it another way…
If the UK population had had only grown by the
same percentage as the percentage growth in UK households in the last decade,
there would be 1,000,000 less people living in the UK today
If you are looking for an agent that is well established, professional and communicative, then contact us to find out how we can get the best out of your investment property.
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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