Are you a
homeowner in Northampton? Perhaps you’re planning to move/sell/buy within the
next six to twelve months, or maybe you're on the lookout for your next dream
home and have no timescales. Whether you're buying or selling, having a clear
understanding of the current state of the property market in Northampton is
vital to make informed choices.
You might
be an investor in the Northampton buy-to-let sector, contemplating selling or
expanding your portfolio. Or perhaps you’re a Northampton first-time buyer
wondering if now is the right time to jump onto the market. Regardless of your
situation, knowing whether the property market in Northampton favours buyers or
sellers can significantly influence your strategy.
By closely
examining the latest data for the Northampton property market, we can gain
insight into price trends, market conditions, and the overall sentiment,
helping everyone - whether buying, selling, investing, or making their first
purchase - plan effectively.
What
Kind of Property Market Does Northampton Have Right Now?
For those
familiar with my previous analyses on the Northampton property market, you’ll
know that one of the best ways to determine whether it’s a buyer’s, seller’s,
or balanced market is by looking at the ratio of properties marked as “Sold
STC” or “Under Offer” compared to the total number of properties available for
sale.
For
example, if 41 properties are marked as "Sold STC" out of 100
available, then the market is operating at 41%. This ratio isn't just a random
figure - it’s a reflection of the overall sentiment in the market.
Here’s how
those percentages break down:
- Extreme Buyer’s Market
(0%-20%):
Buyers hold all the cards.
- Buyer’s Market
(21%-29%):
Buyers have the upper hand but not as strongly.
- Balanced Market
(30%-40%): A
stable equilibrium between buyers and sellers.
- Seller’s Market
(41%-49%):
Sellers begin to gain the upper hand.
- Hot Seller’s Market
(50%-59%):
Strong competition among buyers.
- Extreme Seller’s Market
(60%+):
Sellers dominate, with properties moving fast.
These
benchmarks play a critical role, influencing everything from listing prices to
negotiating leverage.
The
Current Snapshot of the Northampton Property Market
Utilising
the table above, these are the statistics for the Northampton property market (NN1
to NN7 combined) for every October (as the Northampton property market is
cyclical – it’s important to compare the same month).
·
Oct-16 - 56%
·
Oct-17 - 54%
·
Oct-18 - 46%
·
Oct-19 - 45%
·
Oct-20 - 54%
·
Oct-21 - 75%
·
Oct-22 - 65%
·
Oct-23 - 48%
·
Oct-24 - 53%
As is
expected, it was a stronger market for Northampton sellers in the post Covid
years, yet things have settled down now to levels seen before the pandemic,
this current percentage of 53% puts us just into a hot sellers’ market.
What
This Means for Northampton Sellers
Whilst the
numbers haven’t changed dramatically, if you're looking to sell your property
in Northampton, the current market conditions require more patience and
flexibility than 2021. The days of properties flying off the market within days
are mostly behind us, meaning sellers need to prepare for longer marketing
periods.
Pricing
your home realistically is more important than ever. While Northampton sellers
enjoyed a particularly strong market in 2021 and 2022, where demand often
outstripped supply, the situation has since shifted. The probability of your
home selling has decreased compared to recent years.
In the 12
months up to the middle of October 2023, 52.49% of properties in Northampton
that were on the market sold and completed (the rest withdrew unsold).
However, in
the 12 months up to the middle of October 2024, that percentage rose very slightly
to 52.61%, meaning there are still plenty of homes are sitting unsold or being
withdrawn from the market altogether.
To give
this context, the UK average has seen a slight decline, with the national
completion rate dropping from 55.56% to 53.22% in the same period.
In light of
these changes, your marketing approach should be well thought out. Utilising
digital tools such as video marketing and targeted social media campaigns can
give your property a competitive edge. These strategies help attract more
serious buyers in a market where securing interest is becoming increasingly
challenging.
What
This Means for Northampton Buyers
For buyers,
particularly in sought-after parts of Northampton, the competition remains
fierce. Securing a mortgage agreement in principle will give you a significant
advantage in this competitive environment. Additionally, broadening your search
area may help you find properties that others have overlooked, leading to
better deals.
In less
competitive areas, buyers have more room to negotiate. You’ll likely find more
flexibility on price and even some extras, such as fixtures, fittings, or other
incentives thrown in by sellers eager to close a deal. The pressure to make
quick decisions is reduced, allowing you more time to thoroughly consider your
options.
It’s also
worth remembering that most sellers are also buyers, so any loss you may
experience on the sale side should be offset by a better deal on your next
purchase.
External
factors such as global economic trends, events, inflation, and interest rates
will continue to influence the Northampton property market in the coming
months. Keeping an eye on these trends is essential for buyers and sellers
alike.
Final
Thoughts
As we enter
November 2024, the Northampton property market presents both opportunities and
challenges for buyers and sellers. Understanding the subtle shifts in market
dynamics is crucial for anyone planning a move, whether you're a seasoned
investor, a first-time buyer, or looking to relocate within the area.
Staying
flexible, informed, and prepared will make all the difference in navigating
this market. The experience of moving is as much about the journey as it is
about reaching your destination.
