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Summer 2023 Market Report: Summer sun

Posted on: Tuesday, June 20, 2023


Blue skies and sunshine have put a smile on many faces in recent weeks. Conditions remain challenging, but improved economic forecasts are good news for the housing market. 

 

Market dynamics 

Mortgage approvals and sales volumes in April remained subdued as prospective buyers continue to adjust to today’s interest rate environment. However, Zoopla report the volume of sales agreed in May was up 11% on the 2018-2022 average. Close to two-thirds of sellers are confident they will sell their property within three months and 70% of prospective buyers expect to buy within that time frame (OnTheMarket). Surveyors remain cautious but are their most positive as to the state of play of the market since July 2022. Expectations over the next 12 months point to stable market conditions (RICS). 

 Mortgage approvals and sales volumes in April remained subdued as prospective buyers continue to adjust to today’s interest rate environment

 

Consumer confidence

Growth is now predicted for the UK economy in 2023, a significant shift in rhetoric from just a few months ago. While still cautious, consumer confidence continues to rise, registering its strongest level for 15 months in May. An 11-point uptick in consumers’ willingness to make expensive purchases is a positive sign for the housing market in future months. The average price of a 5-year fixed-rate mortgage is fluctuating just above 5%. Inflation fell to 8.7% in April and falling energy prices are set to lower consumer bills in the coming months. 

 

First-time buyers return

Buyer demand for smaller and second-stepper properties is stronger than in 2019, with property choice perhaps influenced by tighter budgets. As rental prices continue to rise steeply, first-time buyers are returning to the market, helped by higher loan-to-value mortgage deals, and in some cases, gifts or loans from family members. The volume of available properties for agents to sell has improved, boosting choice for potential buyers, but still remaining low by historic standards. Well-presented homes in popular areas continue to sell quickly, with sensible and realistically-priced properties continuing to be in demand. 

 

Lettings

Demand for property to let continues to outpace supply, resulting in properties letting at or very close to asking price. Legislative and monetary changes in recent years have undoubtedly impacted investor returns, however indicative gross yields remain attractive, particularly for landlords with a lower Loan-to-Value (LTV) outstanding on their portfolios. 

The long-awaited Renters Reform Bill has been introduced in Parliament. Set to abolish Section 21 no-fault evictions and implement a move to periodic as opposed to fixed-term tenancies, it would provide more security for renters. The bill also outlines changes to strengthen Section 8, covering landlords’ rights to possession, and the development of a new online portal for landlords. 

Demand for property to let continues to outpace supply

Regional Reports

Browse our Regional Market Reports:

● Market Report 2023 Summer East Midlands

● Market Report 2023 Summer Essex, Norfolk and Suffolk

● Market Report 2023 Summer Hertfordshire, Bedfordshire and Cambridgeshire

● Market Report 2023 Summer London

● Market Report 2023 Summer North East, and Yorkshire and The Humber

● Market Report 2023 Summer Northern Ireland

● Market Report 2023 Summer Scotland

● Market Report 2023 Summer Devon and Cornwall

● Market Report 2023 Summer Southern Home Counties

● Market Report 2023 Summer South East Home Counties

● Market Report 2023 Summer Southern

● Market Report 2023 Summer Thames Valley

● Market Report 2023 Summer West of England

● Market Report 2023 Summer West Midlands

● Market Report 2023 Summer North West

● Market Report 2023 Summer Wales

 

Contact us today

To see a full copy of The Guild’s summer market report and for further guidance on the home moving process, take a look at the regional property market updates or get in touch with your local Guild Member today.

 

What Our
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I would highly recommend Hardings. Their knowledge of the local area is outstanding, and they give honest and reliable advice. They have always been my partner of choice when buying and selling.

Rhiannon Prothero

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Have used Hardings for many year on both personal and commercial property deals. Have always found them to be transparent, honest, authentic, and a pleasure to work with. Will continue to use in the future.

TB

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I would highly recommend Hardings Estate Agents. They have excellent knowledge of Windsor and the surrounding areas, and are extremely professional, responsive and courteous. I would not hesitate to using them again the future. I recently dealt with Milica who was instrumental in securing us our new home in Windsor as well as the sale of our existing property. She was a fab negotiator and a real pleasure to work with from beginning to end. Thank you!

Jonathon Beresford

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Hardings of Windsor managed our purchase with complete professionalism and went over and above in my opinion to manage the transaction and chain, resulting in a really smooth purchase. Milica at Hardings constantly provided timely updates and managed respective solicitors and the chain effectively, always responding quickly to queries. The whole transaction would not have happened without Milicas' focus on making all parties comfortable and satisfying all queries, not only professional but a delightful and welcoming personal approach that was a constant throughout. Thanks Hardings! Thanks Milica!

Stuart Blatch

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I would recommend using Hardings estate agents when buying or selling your property. Dominic (Scully) was always available, helpful and genuinely interested in my purchase and always calm and compassionate. If I ever move again my first choice will be Hardings.

Cath Powell

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Dom and the team at Hardings were so helpful and efficient when I purchased my flat - friendly and professional service and kept us up-to-date the whole way through the process. It was my first time buying and so was very nervous but they helped me feel at ease.

Freppell

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We bought and sold through Hardings and can't recommend their professional service enough. The whole Team are really lovely, we were kept informed throughout the process and never had to chase anything.

Natalie Quint

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I used Hardings when I bought my property as well as when I sold it and the service has been fantastic both times. I very much recommend Hardings!

Therese Jouini

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We recently purchased our new home with Hardings Estate Agents. The whole team there were very helpful and flexible with us, arranging viewings quickly on the same day. They were always quick to respond and if ever our point of contact was not there, the service did not change as they work well together as a team. We received a personalised service, which allowed the sale to proceed quickly. Thank you all and we recommend Hardings Estate Agents without hesitation.

Mike B

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What a pleasure it was to deal with Milica from Hardings. She sourced the perfect property for me and my family (while we were still abroad) and worked endlessly to put the deal together. I would give more than 5 stars if at all possible!

C D

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Fantastic customer service and made what could have been stressful a total breeze. Dominic and Louisa were brilliant in helping me and my parents buy and sell our houses - reliable, helpful and thoughtful. Thank you!

Eloise Harris

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Thank you, Dominic and Louisa - having not moved for over 30 years you helped me all the way, step by step. You were always polite, communicative, reassuring and very supportive. Would recommend Hardings wholeheartedly.

Anna Bowen
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