Are you a Northampton
homeowner? Are you thinking of moving home in the next six to twelve months?
Whether you're aiming to buy your dream Northampton home or sell a beloved
property, grasping the current market dynamics is crucial.
You might
be a Northampton buy-to-let landlord, possibly looking at selling or buying
another property to add to your portfolio?
Also, you
could be a Northampton first-time buyer and wondering if this is a good time to
buy or not?
Irrespective
of which of these you are, understanding
whether the Northampton property market favours buyers or sellers is crucial
for making informed decisions.
By examining the local Northampton
property market, we can gauge current trends, prices, and opportunities,
allowing all parties - buyers, sellers, investors, and first-time homeowners - to
strategically plan their next moves.
What Sort of Northampton Property Market are We
In?
Those of
you that regularly follow my Northampton Property Market blogs, know the
measurement of whether it's a buyers', balanced, or sellers' market is based on
the proportion of properties marked as "Sold STC" and "Under
Offer" compared with the total number of properties on the market.
For
example, if there are 46 properties sold STC and 100 properties available/for
sale, then 46, as a percentage of 100, is 46%.
This isn't
just a numbers game; it's a gauge of market sentiment:
- Extreme Buyers' Market
(0%-20%)
- Buyers' Market
(21%-29%)
- Balanced Market
(30%-40%)
- Sellers' Market
(41%-49%)
- Hot Sellers' Market
(50%-59%)
- Extreme Sellers' Market
(60%+)
The
significance of these brackets can't be overstated. They directly impact
everything from listing prices to negotiation leverage.
Current Northampton Property Market Snapshot
To
calculate Northampton's property market's status, let's incorporate our most
recent findings for July 2024. The numbers and statistics have been taken from
the website 'The Advisory,' which has calculated the market state for many
years. I am sharing them from the summer of 2018 to July 2024.
· The Northampton postcode districts of NN1 to NN7 combined showed an extreme sellers’ market at 76% in the summer of 2021, which eased off throughout 2022.
· Throughout 2023, the Northampton property market was in the late 40% to early 50% range (a sellers’ market into a hot sellers’ market). By February 2024 this had reduced to 48%.
·
Since February 2024, it has been increasing
slightly, and now stands at 55%.
The Consequences and Thoughts for Northampton's
Property Market
This new
data prompts me to take stock and ponder.
For Northampton
sellers: We
are now in a property market where sellers must be more strategic, flexible,
and patient. You should brace yourself for your home to be on the market for
longer, with an extended marketing period. Realistic pricing is more vital than
ever. Setting the right price is crucial for attracting suitable buyers.
Why?
Because your chances of selling your Northampton home have dropped in the last
few years.
For all the
Northampton homes that left estate agent books in the 12 months between July
2022 and June 2023, 56.48% of Northampton homes sold and completed (the rest
withdrawing, unsold). Since 1st January 2024, that figure for Northampton homes
has dropped to 51.51%.
(Just for comparison, for all the homes that
left estate agent books in the 12 months between July 2022 and June 2023, 58.67%
of UK homes on the market sold and completed. Since 1st January 2024, that
figure for UK homes has also dropped to 51.13%).
Therefore,
your marketing strategy is just as important. Employing tools such as video or
virtual tours, targeted social media campaigns, or interactive property
listings could be particularly beneficial in this more ‘normal’ market of 2024.
For Northampton
buyers: Expect
intense competition if you're interested in highly sought-after types of
properties. Securing mortgage pre-approval can put you ahead of other
prospective buyers. Consider expanding your search area to discover potential
deals that others may overlook. Conversely, in less competitive markets, Northampton
buyers have more leverage to negotiate from the offer price to inclusions like
carpets, fixtures, and fittings. You will also have the luxury of choice and
time with other homes.
Remember,
four out of five sellers are also buyers, so what you may lose on the sale
might be compensated for on the purchase. External influences such as global
economic trends, inflation, and interest rate repercussions could all cast
shadows on the Northampton property market.
Final Thoughts
As we
progress into the eighth month of 2024, the Northampton property market
presents challenges and opportunities for buyers and sellers.
Understanding
these market subtleties is crucial for anyone considering a move, from existing
homeowners to seasoned buy-to-let investors, first-time buyers, or those
looking to relocate to Northampton.
Stay
flexible, stay informed, and remember that your home-moving experience is as
much about the journey as the destination.
What are
your thoughts on Northampton's developing property market since we have a new
Government?
Do you
anticipate any other shifts or trends in the Northampton property market?
What are
your local insights and experiences?
Please do
share them.
