From James Lockett ProperPR

Please read below industry reaction to this morning’s Nationwide House Price Index, showing the housing market has made the strongest start to the year in almost two decades.

Director of Benham and Reeves, Marc von Grundherr, commented:

“Make no mistake, the housing market is booming and we’ve picked right back up from where we left off in 2021, with the strongest start to the year in almost two decades.

It’s hard to remember a time when such bullish market conditions were maintained for such a long period of time. However, with inflation starting to put pressure on household finances there is a chance we may soon see this relentless rate of house price appreciation start to slow.

The London market looks poised to outperform the wider UK over the coming year. We’ve seen a huge uplift in both tenant and homebuyer demand following the pandemic inspired exodus and many have now realised that London is where they want to be, not just where they need to be.

Foreign homebuyers are also returning at quite a rate, many of whom are unphased about rising inflation or the resulting increase in interest rates and this will help rejuvenate the London property market considerably.”

CEO of Octane Capital, Jonathan Samuels, commented:

“A number of factors continue to influence the incredibly buoyant market conditions being seen of late and this perfect storm of housing market growth is currently showing no signs of yielding.

The nation’s estate agents can’t restock the shelves fast enough and the level of available properties remains insufficient when compared to the huge levels of buyer demand still sweeping the market. As a result, it very much remains a seller’s market and buyers are still taking advantage of the low cost of borrowing to offer that little bit more in order to secure their favoured property.

Of course, all eyes will be on the Bank of England this week and a potential increase in interest rates. While this is only likely to be marginal, it comes just a short time after the previous increase and may cause some buyers to offer that little bit less with an eye on their future mortgage repayments.”

Founder and CEO of GetAgent.co.uk, Colby Short, commented:

“Since the introduction of the stamp duty holiday we’ve seen the nation’s homebuyers beg, borrow and borrow some more in order to secure a purchase and make a saving. However, now this saving is no longer on the cards, we’re yet to see this heightened market activity subside and house prices continue to accelerate as a result.

It’s fair to say that something has to give and we’re now seeing a squeeze on household incomes in other areas of life. While this is unlikely to derail the market, we can expect the current rate of house price growth to ease over the coming year as many households tighten their belts.”

James Lockett

M: 07584 248960

E: [email protected] 

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