House Prices, Recessed.
If you’re a property owner you probably study the property market quite regularly. And if you’ve owned property over the last decade, you’ve probably been feeling a little bit uncomfortable about the instability of the market.
that since September 2007, as with many other industries, the property market suffered an ongoing deflation in prices. This made selling most property hard, and even worse than that, non-profitable.
Prior to that, the property market had been rising, with a few exceptions, for nigh on ten years. The market suffered a significant hit in 2005, but it looked as though everything would be alright.
As was expected the turn of the century saw an influx in property development and increase in. This demand, in itself, pushed the property market further and further up until prices hit an all-time high, which was simply beyond the reach of an average buyer.
With a global recession on our hands it was impossible for the majority of people to consider buying any property and as such, the housing market swerved drastically southwards.
Assessing the Situation
Nobody wants to sell at a loss. And so, during 2009, the house market was virtually stagnant. Nobody wanted to sell houses that they had bought six years previously for an average of £50k more, but of course those that hadn’t been affected by the recession were keen to cash in on the property market’s dip in prices.
The recession had caused all sorts of damage to all sorts of industries for two years, and it wasn’t showing any signs of getting better.
If we look back now, we know differently, as we can see that, as a result of improved personal finances and low house prices across the UK, house prices were back on the rise again. That is until they averaged out at the beginning of 2010, where they remained fairly steady for three years.
Properties on the Rise
As I said, if you’re a property owner, you probably know this, especially if you are used to constantly buying and selling. It is important to keep an eye on how the property market will affect your own properties, and how that can turn around into cash.
Progress has been slow since the recession, but we’re finally seeing signs of British housing prices back on the rise. Some months are, arguably, better than others, but when we look at the picture we can recognise the fact that the property market ball is back, firmly, in the seller’s court.
Picking your moment to sell is just as tricky as picking your moment to buy – it is often the case that your own finances will dictate when you are able to and when you need to. Watching how the market works over time and taking the time to research how the market works will make it easier for you to select the right time to either buy, or to sell.
Whilst housing prices may seem to be on the rise on average, certain indices, such as those recorded by major mortgage lender Halifax, observe a falling average price over the last couple of months, and could very will indicate a downturn in the market, Persimmons however,. Selecting your moment is crucial, time it wrong and it could be another ten years before you get your chance.