Housing supply is still outstripping demand, and this will continue into the new year, which leaves us very much still in a buyers’ market, says Paul Stevens, chief executive of Just Property.
“This presents a wonderful opportunity for first-time buyers and investors as they stand a better chance of securing good opportunities.” Stevens says the past year has been challenging for both the economy and the property market.
The macroeconomic environment has remained under pressure, with rising unemployment levels and slow economic growth serving. The economic outlook over the next two years is not very positive, with the GDP growth forecast recently lowered to 1.5% for 2020 and 1.7% for 2021.
“Within this economic climate, I do not think we are going to see significant changes in the real estate sector over the next year. “The advantages that currently exist for home buyers will remain, with the possibility rents will begin to increase later in 2020, offering an opportunity for buyto-let investors.”
Stevens says properties are currently selling for an average 9% below asking price, and owners wanting to sell quickly are accepting even lower offers.