As an experienced estate and letting agent based in Warrington, I have been closely monitoring the trends in the UK property market. As of January 11th, 2024, the market has shown a solid start, a trend worth exploring, especially in how it might mirror or differ from the local market in Warrington.
In the first 11 days of 2024, the UK property market recorded 22,402 homes sold subject to contract (stc). This figure represents a significant increase compared to the first 11 days in 2023, where only 15,735 properties were sold stc.
๐ง๐ต๐ถ๐๐ถ๐๐ฎ๐ป๐ถ๐บ๐ฝ๐ฟ๐ฒ๐๐๐ถ๐๐ฒ๐ฐ๐ฎ.๐ฏ๐ณ% ๐ถ๐ป๐ฐ๐ฟ๐ฒ๐ฎ๐๐ฒ๐ถ๐ป๐๐ต๐ฒ๐ป๐๐บ๐ฏ๐ฒ๐ฟ๐ผ๐ณ๐จ๐๐ต๐ผ๐บ๐ฒ๐๐ฎ๐น๐ฒ๐๐๐ฒ๐ฎ๐ฟ–๐๐ผ–๐ฑ๐ฎ๐๐ฒ
For those of you who like your property stats, the average price of the property sold stc in the first 11 days of 2023 was ยฃ337,678 with an average of ยฃ321/sq.ft. In 2024, the average sale agreed price was almost identical at ยฃ337,972, yet the average pound per square foot was slightly higher at ยฃ326/sq.ft.
Such a surge in the property market demands a deeper analysis to understand the underlying factors and what they might mean for local markets, such as Warrington.
๐๐ฒ๐๐๐ฟ๐ถ๐๐ฒ๐ฟ๐๐ผ๐ณ๐๐ต๐ฒ๐จ๐๐ฃ๐ฟ๐ผ๐ฝ๐ฒ๐ฟ๐๐๐ ๐ฎ๐ฟ๐ธ๐ฒ๐๐ฆ๐๐ฟ๐ด๐ฒ
Lowering Mortgage Rates: One of the primary catalysts for the increased activity in the property market is the reduction in mortgage rates. This development has made purchasing property affordable for a more significant population segment, boosting home sales.
Rising Wages: The rise in average wages has also played a critical role. With more disposable income, individuals are more inclined to invest in property, which is a secure and lucrative asset.
Low Unemployment Rates: The strong job market and low unemployment rates have instilled confidence in people, encouraging them to make significant life decisions such as buying a home.
Additional Factors: There are other factors at play as well, including demographic shifts, changes in housing preferences post-pandemic, and government policies that may have incentivised property purchases.
๐ช๐ฎ๐ฟ๐ฟ๐ถ๐ป๐ด๐๐ผ๐ปโ๐๐ฃ๐ฟ๐ผ๐ฝ๐ฒ๐ฟ๐๐๐ ๐ฎ๐ฟ๐ธ๐ฒ๐: ๐๐๐ผ๐บ๐ฝ๐ฎ๐ฟ๐ฎ๐๐ถ๐๐ฒ๐๐ป๐ฎ๐น๐๐๐ถ๐
When we turn our attention to Warrington, it’s important to recognise that local markets can behave differently from national trends. (Warrington being WA1-WA5).
As of the same period in 2024, Warrington’s property market has shown 115 sales agreed (sold stc), and in comparison, to the exact year-to-date figure of 2023, which was 54, we can draw some preliminary conclusions.
๐ง๐ต๐ถ๐๐ถ๐๐ฎ๐ญ๐ญ๐ฎ.๐ต% ๐ถ๐ป๐ฐ๐ฟ๐ฒ๐ฎ๐๐ฒ๐ถ๐ป๐ช๐ฎ๐ฟ๐ฟ๐ถ๐ป๐ด๐๐ผ๐ป๐ต๐ผ๐บ๐ฒ๐๐ฎ๐น๐ฒ๐๐๐ฒ๐ฎ๐ฟ–๐๐ผ–๐ฑ๐ฎ๐๐ฒ
But, like the national picture (albeit higher), it is still very much early doors so things could change.
Before diving deeper into this, I wanted to see if the types of properties selling in the first two weeks of the year in the Warrington area in 2024 differed from those in 2023.
The average price of the property that was agreed on a sale (i.e. sold stc) in the first 11 days of 2023 in Warrington was ยฃ219,669 with an average of ยฃ238/sq.ft.
In 2024, the average sale agreed price was ยฃ273,632, yet the average pound per square foot was higher at ยฃ268/sq.ft.
You will note a vast difference in the average price paid and ยฃ/sq.ft. figures. That doesnโt mean Warrington house prices have rocketed. It just means the mix of properties sold in Warrington in the first 11 days of January is much different in 2024 than 2023. This will affect the averages tremendously because weโre dealing with a relatively small number of house sales over a short period, compared to the regional and national picture. This will settle down as time and more sales pass by in the coming months.
๐๐ผ๐ฐ๐ฎ๐น๐๐ฎ๐ฐ๐๐ผ๐ฟ๐๐๐ป๐ณ๐น๐๐ฒ๐ป๐ฐ๐ถ๐ป๐ด๐ช๐ฎ๐ฟ๐ฟ๐ถ๐ป๐ด๐๐ผ๐ปโ๐๐ ๐ฎ๐ฟ๐ธ๐ฒ๐
The performance of Warringtonโs property market could be influenced by local economic conditions, the specific demographic profile of the area, and even regional policy decisions. For instance, developments in local employment opportunities, infrastructure projects, or changes in the local landscape compared to other parts of the UK could significantly affect market dynamics. Do share your thoughts on that and reply with a comment.
๐๐๐๐๐ฟ๐ฒ๐ข๐๐๐น๐ผ๐ผ๐ธ๐ฎ๐ป๐ฑ๐๐ฑ๐๐ถ๐ฐ๐ฒ๐ณ๐ผ๐ฟ๐๐ผ๐บ๐ฒ๐ผ๐๐ป๐ฒ๐ฟ๐๐ฎ๐ป๐ฑ๐๐ฎ๐ป๐ฑ๐น๐ผ๐ฟ๐ฑ๐๐ถ๐ป๐ช๐ฎ๐ฟ๐ฟ๐ถ๐ป๐ด๐๐ผ๐ป
Looking ahead, the property market in 2024 is on a promising trajectory. However, understanding the nuances of the local market is crucial for homeowners and landlords in Warrington. It’s not just about national trends but how they interact with local and regional factors.
As a professional, I encourage Warrington property owners and prospective buyers to seek tailored advice. Understanding the current market position of your property and how to navigate the 2024 market landscape can be pivotal in making informed decisions.
While the UK property market has seen a robust start in 2024, it’s essential to fully delve into local market conditions to grasp the opportunities and challenges. For those in Warrington, I am here to provide expert insights and guidance tailored to our unique market conditions. Whether you are a homeowner looking to sell or a landlord seeking to expand or liquidate your portfolio, understanding the specifics of Warrington’s property market is critical to making strategic decisions.
Remember, the Warrington property market is dynamic, and what applies on a national level might not mirror precisely at the local level. As we move through 2024, staying informed and adapting to the changing market will be crucial for success in any property transaction.
To understand your position in the Warrington property market, or if you have any queries about potential property investments, please feel free to contact me. My expertise and local market knowledge of Warrington are at your disposal to help you navigate these exciting times in our local property market.
Please share your thoughts on any aspect of this with a comment.
