Chris Breckenridge
Partner
And there it is, another year under the belt and with it, we welcome in the 2024 property market. So, what is the state of play in the West End?
The reality is that the market has been very strong over the last twelve months and far more prosperous than many believe it to be, given some of the national headlines we have seen – most of which reflect the wider UK picture rather than the local market in Scotland.
Key Trends
Premium Home Market
We are astounded by the number of cash buyers who are ready and willing to move and move fast on securing top-tier properties.
Middle Market Opportunity
Swathes of new buyers have entered the market with budgets ranging from £200,000 to £500,000 which is seeing exceptional premiums being paid.
Pricing Strategy
Over-ambitious pricing can lead to disappointing outcomes. Therefore, the level of diligence required by an agent to price accurately has never been more important.
Relocation Trends
Buyers from across the UK, predominantly from London, are moving to the new Glasgow HQs of Barclays, Virgin Money, Ernest Young and KPMG.
Interest Rate Trends
The Bank of England’s pause on interest rate hikes positively impacts the housing market, making mortgage financing more affordable. Current 5-year swap rates are around 4.3%, with mortgage rates variably below 5%.
“We are also excited by the number of buyers who have come forward in the formative few weeks of January, and there is serious intent amongst them to buy as soon as possible.”
The start of 2024 appears to be a continuation of that excellent market performance but with one key difference: the media are now echoing the positivity. Interest rates are coming down, which is opening up affordability for many prospective buyers, and lenders are gearing up new products with much more amiable rates – particularly for those with significant deposits to hand.
We are also excited by the number of buyers who have come forward in the formative few weeks of January, and there is serious intent amongst them to buy as soon as possible.
To that end, those who have opted to list their property with us early are benefitting from a unique market quirk. Traditionally, Spring tends to invite the most competition and best offer; however, the current combination of a high volume of buyers and a limited supply of available homes has caused a bit of a frenzy in terms of activity, and those early-listers are reaping the rewards, with excellent premiums being paid at a closing date.
We would really encourage those who are on the precipice of selling to consider pulling the trigger and getting their home out there ahead of the inevitable onrush of listings that will come to the market over the coming months.
“The best piece of advice that we can issue right now is to really consider how you position yourself and your offer.”
That said, for those who decide that listing later in the year is the right option for them in terms of timing, we envisage buyer demand remaining consistent throughout the year. If you fall within that category, start thinking about the prep work that’s required to go to market:
– Engage with us early so we can map out the sales process for you and discuss pricing strategy
– Consider and action any work that’s required around your home; use this time to get things shipshape
– Start to consider your own buying journey and what will be required to put you in the best position to purchase
So, what about buyers? It is undoubtedly competitive out there, and that is unlikely to change anytime soon. The best piece of advice that we can issue right now is to really consider how you position yourself and your offer. If you need to sell first to finance the purchase, then give serious thought to doing that, and if a mortgage is required, then make sure you get that process well underway – as clean a purchase as possible can make all the difference.
As always, both the team at our West End branch and I are on hand to deliver specific and personalised advice. We are on hand at any time, so please feel free to reach out, and we can arrange a discussion.
Booking your appraisal
Looking to take the first step in selling your home? Or simply want to know what your house is worth? Then let’s arrange a free, no-obligation appraisal of your property with an expert member of the Corum team.
Our appraisal will give you a valuation based on an overall assessment of your home, its location, comparable sales and current market dynamic.
Simply enter your details below and the team from your local branch will be in touch to get the process started.
