Is spring truly the best time to sell your property?
With all the rain and wind we’re having of late, you’d be forgiven for thinking that spring is still a way off. But it’s here, and with it comes a buoyant property market in East and West Sussex. Here’s our overview of the market and advice on whether or not spring is the right time to sell your property.
A property market overview
Longer days and better weather (the past week excluded!) has seen more people instructing Jacobs Steel to market their properties. Psychological studies have shown that the transition from winter to spring can have a significant impact on a person’s mood and behavior. In one study, researchers found that people tend to feel more optimistic and energetic in the springtime. This is partly due to the increase in sunlight, which helps regulate our circadian rhythm and boosts our mood; and is potentially the reason many homeowners choose spring as the time to put their property on the market.
As homeowners begin to see more properties hit the market, this gives others the confidence to do the same. This contributes to the fact that we have seen more and more properties hit the market throughout the course of March. The more properties, the more sales.
Matt Jacobs, Director of Jacobs Steel, says,
“Sales have really improved during march. In some instances we have sold properties beyond their asking prices. I think there is more confidence in the market again after 6 months of uncertainty since the ‘Truss reign’. Mortgage rates have stabilised and people are now viewing this as the new norm. House prices have stabilised too, so rather than having buyers question if they can get a better deal on a mortgage or property in a month or two, they are now more confident in committing when they view the right place.”
The longer days also appeal more to buyers as they have more opportunity to view properties in daylight. More second viewings tend to happen when the days are longer, which may mean waiting slightly longer for an offer to come in, but reduces the risk of a sale falling through due to a rushed decision.
Property Prices
According to Rightmove’s House Price Index in March 2023, the average property price increase across the South East is 1.8% year on year.
“Nationally, new seller asking prices are now below October 2022’s peak, with annual price growth continuing to ease. The data continues to point to a market on a much more stable footing than many anticipated and cautiously transitioning towards the activity levels of the more normal market of 2019” says the property giant.
In line with what we’re hearing from Rightmove, the mid-level property market is more buoyant than the premium end. High-end homes have experienced more modest increases in price and are typically taking longer to sell. This is likely caused by a combination of factors, including homemovers feeling more cautious about the costs of running a larger home during the current economic cost-of-living crisis.
At the opposite end of the spectrum, typical first-time buyer homes are still quick to be snapped up.
Tim Bannister, Rightmove’s Director of Property Science, says, “The differing performance of smaller and larger homes highlights the multi-speed, hyper-local market. Sellers looking to take advantage of traditionally strong buyer interest during the spring moving season should seek the expertise of a local estate agent, who will have their finger on the pulse and be best placed to advise on their local market.“
London buyers
The London market has perhaps been hit hardest by the post-pandemic property boom, since many of the Capital’s residents have looked to move out of the city. Coastal towns like Worthing and Brighton are among some of the most popular for out-of-area buyers, typically due to the amount of property and outdoor space they can purchase at a lower price; sometimes helping these movers become mortgage free.
The ‘new-normal’, working from home, continues to thrive across the country. This also contributes to the influx of out-of-area buyers, as many consider their mental health and well-being over and above much else. The sea air, hilly views and relaxed pace that comes with living on the Worthing to Brighton coastline continues to draw in these buyers.
Worthing was in fact recently dubbed the ‘Best Seaside Town to Live in in 2023’. Check out this video to see why:
Rightmove’s house price index for March stated that mortgage rates have fallen back from their peak last year, with average rates for a 15% deposit five-year fixed mortgage now 4.65%, edging down from last month’s 4.75%, and October’s 5.89%. Although this is still higher than this period last year, the OBR statement that inflation is likely to reduce more quickly than previously forecast to 2.9% by the end of 2023 is positive news and the Bank of England may temper rate rises and reduce them more quickly than previously anticipated. However, market conditions are changeable, and we will need to see how the mortgage market reacts in the coming weeks.
For independent mortgage advice, get in touch with our in-house team.
