State of your local property market: June 2024
June has brought a burst of energy and excitement as the Queen’s tennis tournament leads us into Wimbledon, the country ramps up for a general election and the sun graces us with its warmth.
This month’s edition of our monthly property market update for Worthing to Brighton features our department leaders’ insights into the sales, rental and commercial markets; as well as an overview of current mortgage rates. So sit back and indulge in some strawberries and a refreshing drink while catching up on the latest property market news.
The current landscape
We asked Matt Jacobs, Managing Director, at Jacobs Steel, what’s been happening in the local property market throughout June, and behind the scenes in the branches. Here’s what he had to say:
“The half year mark is always a great time to reflect on the year to date and compare the second quarter with the first 3 months of the calendar year. It’s pleasing to confirm that across the Jacobs Steel business, agreed sales units are up by 44%. However, the level of completed sales has remained similar to completion volumes in Quarter 1. This would indicate that the second half of the year will be stronger for completed sales vs the first half of the year, since the average time to get a sale through to completion is between 3-4 months. As expected, with the upcoming general election, the last couple of weeks of June have been a little quieter for new properties and offers. Naturally, people who are not highly motivated to move will wait to see if the outcome of the general election will bring any positive changes to the property market. With the announcement of inflation falling to the Bank of England target, there is confidence across the market and buyers are happy to commit when they view a suitable property. That said, if a property has been marketed for over 6 weeks, sellers often need to remain open minded on their asking price to agree a sale.”
Mortgage rates
The current Bank of England base rate is 5.25% as of 20th June 2024, and interest rates are on target, sitting at 2%. The next review is scheduled for 1st August 2024.
As of Thursday 27th June 2024, the current average mortgage rates are shown below (sourced from (https://www.uswitch.com/mortgages/):
Rental market review
We caught up with Ollie Whiting (MARLA), Lettings Manager at Jacobs Steel to hear what’s he’s been noticing throughout June:
“As predicted in our last newsletter, the rental market continues in the same vein as we have seen over the last few months. We are now in a peak summer market where the industry is at its most buoyant, there is a consistent flow of available stock, and tenants will likely have to be more decisive when it comes to searching for a property due to the level of demand and competition. In other areas of our industry, with the announcement of the general election and the Renters Reform Bill not passing in time, this means that there will be no immediate changes to fixed term tenancies or any other provisions within the bill. We are expecting the Renters Reform Bill to be reintroduced under a new government, however, for now, its business as usual.”
If you have any questions and are thinking of either letting a property out, or if you are looking to rent a property, our team is ready to help get you moving.
Commercial market review
Leigh Doherty, Commercial Manager, has an in-depth understanding of the commercial property market. Here’s what he had to say:
“June has been exceptionally busy month for the commercial department, with a number of new deals agreed and lots of new stock coming on the market. We are also finding that deals are being agreed, prior to the commencement of marketing, which shows clear signs that the market is strong. We are very proud of some recent statistics which show that our commercial department is now rated as one of the top performing agencies in East & West Sussex, which is an excellent achievement. Moving into quarter three, we are feeling positive and very optimistic.”.
If you are curious about how much your commercial property is worth, or just require free advice, then please contact one of our friendly commercial team members or our commercial manager, Leigh Doherty on 01903 792785.
The road ahead
The sales, lettings and commercial markets all continue to look positive. Regardless of the outcome of the general election, there will likely be no immediate effect on the property market. This means that it is a ‘normal summer’ and continues to be a good time to buy or sell property. Buyer demand has remained stable and is now 5% higher than last year; and there is a maintained momentum in the market.
