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Property market September

Journalist: Callum Mason, i

ended 28. September 2023

How is the property market holding up in September? Have estate agents seen it move at a slower pace than expected? Is it completely dead compared to previous autumns?

And if so, what is needed to inject some life into the market? Do we need to see lenders drop their rates quickly? And is some form of government intervention needed?

8 responses from the Newspage community

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Editor
Ranald Mitchell
Director at bad credit mortgage specialists Charwin Mortgages
The property market remains a lot slower than at the same time last year, and it is a shortage of buyers, not supply that is the problem. The cost of mortgage borrowing has deterred many from taking the plunge with their first home purchase or moving, and with rates now easing back down again, hopefully buyer confidence will be restored sooner rather than later. In the meantime, there is a window of opportunity as property prices have receded and sellers are less bullish and more willing to negotiate. Everyone accepts that rates will not return to the ultra-low decade levels, the question being, at what price point will confidence return to buyers?
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Riz Malik
Independent Financial Adviser at R3 Wealth
Drawing inspiration from Bjork, the market remains "oh so quiet." The rate cuts, although welcomed, won't reinvigorate this market. A substantial stimulus is the need of the hour. However, the government has hinted at no forthcoming actions and it will be interesting if anything is announced at their forthcoming conference. Until then, it seems silence will persist on the Western Front.
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Stephen Perkins
Managing Director at Yellow Brick Mortgages
The market seems to be holding its breath at the moment. Mortgage rates are falling, but are still not quite enough to feel comfortable to many homebuyers. House prices are adjusting downwards but are still just out of reach. Another boom of activity is coming before year-end, when both the aforementioned factors cross the tipping point and the market again exhales, to the relief of many in the industry.
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Samuel Mather-Holgate
Independent Financial Adviser at Mather and Murray Financial
Despite mortgage rates coming down from their all time highs of the current crisis just over a month ago, they are still at eye watering levels compared to 18 months ago. As the cost of financing has increased so dramatically, normal activity won’t return to the market until sellers adjust their prices accordingly or financing costs return to rates closer to rates of the last decade. As inflation subdues and the economy starts to cripple, the central bank will be forced to slash rates, but this won’t help the market until the Spring.
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Platinum
Elliott Culley
Director at Switch Mortgage Finance
September has been better than August and if rates continue to reduce it's likely October will be better still. September is usually a busier month, due to school holidays ending, but it has been less busy than previous years due to the interest rates. The First time buyer market has slumped but this may start to pick up in the coming months.
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Premium
Elliott Benson
Owner at Sett Mortgages
August was slow, September has been busy. I have seen double the number of purchase mortgages as opposed to last month and in my opinion I do not see a drop off as opposed to this time last year. If anything the fall in fixed rates and coverage surrounding landlords selling has actually made things seem more positive.
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Adam Smith
Founder at Alfa Mortgages
The market remains robust at the lower end, with less sensitivity to interest rates. However, in the higher-priced property segment requiring mortgages above £500,000, activity is slowing down.
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Charles Breen
Founder at C B
We are seeing an increase in enquiries from first time buyers who are beginning to do the initial groundwork before they look at buying, working out affordability with a plan to start buying in the next few months. The market seems to have turned a corner now that we have crested the wave of interest rates and they are on a slow but steady decrease at the moment, giving people much-needed certainty for the future, all the signs are pointing to the dam finally bursting and people looking to move again.
Further decreases in rates, positive news about rates as the media are quick to say when its doom and gloom but not as quick to find the positives which there are many at the moment. Will see the market recover naturally we believe and they will be back to pre pandemic levels rather than the buying frenzy we experienced for the past couple of years.