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House prices rising. Time to sell your house quickly?

Posted in Housing market, How to sell my house quick | 0 comments

House_Prices_Mar13

News headlines are talking about a rise in house prices annually and monthly. Does is mean the worst is over and the property market is on the way to recovery? Does it mean that you can sell your house quickly and get more money for your house? Looking at different property experts reviews, is not that straightforward.

House Prices rising ?

According to the land registry report of 28 of March 2013, there have been an increase in UK house prices of  0.2% monthly and 1% annually which brings the average house price to £162.606. At the same time London house prices are reported to increase annually by 6.3% with an average price of £370.819 which shows that other counties have experienced a price fall to balance the overall annual figure of 1%. The region which suffered the biggest annual price fall is Yorkshire and the Humber with the movement of -0.9%. The house price picture changes by county, region and town, so the ability to sell your house quickly and to get more money will depend on your location. So, is the house price rise to sustain? Experts don’t expect the trend to continue and report an uncertainty on the subject, where is the MoneyWeek predict house prices to fall in the report How far could house prices fall in 2013?

Drop in House Sales House_Sales_Mar13

At the same time the sales volumes have dropped from 61, 392 for September to December of 2011 to 56,886 for the same months of 2012. It’s also been highlighted that the number of sales for property worth more than £1m have increased by 19% , which respectively drops the number of sales for average houses even further. This is supported by estate agents reporting that there are more sellers on the market than buyers, so you have to compete on price in order to sell your house quickly or your house might be sitting on the market for a very long time.

There a few government initiatives planned to boost the housing market like existing NewBuy scheme and a new Help to Buy scheme, helping home buyers to source a deposit or purchase on a shared ownership basis. Together with more affordable mortgages, this should help moving the property market, however affordability is still a key problem. With prices still  high compare to earnings, people are just unable to afford houses, which is well pointed out in the Thisismoney.co.uk article:
Property market gets a Budget boost so are things looking up? What next for house prices?

Repossession is still high

Repossession volumes are still high dispite a reduction from 1,774 yearly average in 2011 to 1,440 in 2012. Overall repossession volume is on the downtrend, with South East being a region with highest reduction in repossessions. However once the repossession data is added to the House Sales figures, the house sales index goes to 1.6% from 1% , which shows that the number of repossessed houses is still very high compare to the total house sales. Repossession volumes also change by region and county with the highest rates on repossessions in the North West and North East. So many home owners are still in fear of repossession and are looking for options to sell your house quickly.

So, overall the property market is still slow with a little hope for a near future improvement and many homeowners are struggling to sell their houses.

“We believe there is a solution to any property problem.”

To your happiness.

Dasha