So house prices surged in August, recording their 2nd biggest month-on-month rise for 15 years and are now 13% higher than pre-pandemic levels.
Prices rose by 2.1% last month despite experts thinking there would be a natural slow down once the stamp duty holiday finished. This surge in property prices is still being driven by the distinct lack of supply.
In terms of individual cities, Liverpool is top of the table again at a massive 9.4% YOY growth and Manchester just behind at 7.7%.
As we predicted last month, property prices are still set to continue and have now hit the overall 6% YOY growth as we thought they would.
We feel this will continue to grow with Liverpool and Manchester leading the way until the back end of this year.
Lack of Supply
The big driving force at the moment for increasing property prices is the lack of supply.
New home supply is down 5% from typical levels reflecting on the total amount of stock being down 26%. This has been the case all year and is expected to continue well into early 2022.
However, one big factor to the lack of new supply is down to the dramatic rise in cost to build, thus resulting in developers having to reassess costs which causes delays in new projects being completed.
The lack of supply will continue well into 2022 which will reflect in the property prices slowing down slightly as people await new stock to come on the market.
As the construction industry now starts to pick up we are hoping to see the supply get back to normal levels by Q2 2022.
Live Webinar – 5th October at 1pm
POTM – Byron Halls, Bradford
Completed and Tenanted
3rd-floor apartment in this Grade II listed building situated within walking distance of Bradford city centre. The apartment is of a high quality specification with features such as Mezzanine bedroom, glazed balcony and exposed brick walls.
Employee of the Month – Ricky Ellson
We have to give a big shout-out this month to Ricky Ellson who has continued to do whatever it takes to make the clients happy and comfortable with their investments.
This has been reflected in some great feedback this month from clients who have experienced an in-depth and patient approach.
Ricky loves the educational side of the process giving clients all the knowledge on the market, areas, and the particular opportunity that he feels suits the client’s long-term goals.
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