Housing Market Outlook Amid Election Predictions: Sell Now or Wait?
Tony Wing, our Sales Director, assesses your options after Wednesday's announcement.
What will be the outcome of the general election on July 4th? While we can't be 100% certain, most political pundits anticipate a shift from the right to the left of the political spectrum with any new government. In just a few short weeks, we will know if their forecasts were accurate. Coming into 2024, many property professionals had already assessed how the impending election might affect sales volumes and house prices, regardless of whether it was called early or later in the year.
Our assessment is clear: if you want to sell this summer, don’t delay. There will still be an active market despite election uncertainties. However, post-election, those who have delayed may find themselves facing increased competition as more properties come onto the market, all competing for the same buyers.
We understand that many serious potential sellers may need to delay going to market this summer for a variety of legitimate reasons aside from concerns about the election outcome. If you plan to take your home to market this autumn, how should you prepare now to make the most positive impact in this competitive environment? It's simple: instruct Robert Bell & Company to start preparations now. With professional photography, a 360-degree virtual tour, a quality sales brochure, comprehensive portal marketing, direct sales access to the London market, social media promotions, and online property e-zine promotion to thousands of potential buyers, we can present your home at its very best to the market at the push of a button.
Historically, general elections can slow down the housing market due to the uncertainty they create. However, this election is being held earlier in the year than expected, so the period of market uncertainty is anticipated to be relatively short.
Will the forthcoming election significantly impact the key economic fundamentals of the housing market? No. Interest rate levels are determined by inflation and wage growth, not elections. Recently, the underlying rate of inflation dropped to 2.3%, providing the Bank of England with the flexibility to consider a series of rate cuts over the next six months. This could lead to lower mortgage rates for buyers, providing a firm foundation for the housing market's recovery.
It’s going to be an interesting summer for the housing market.
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