Strong Start To 2022 Housing Market

Now that we are in April, with spring blooming all around us, it is fair to say the housing market is moving into a busy time of year. Of course, the housing market has been busy throughout 2022 so far.

At Williams of Petersfield, we know the local housing market well, and we stay in touch with what is happening nationally.

This ensures you get all the information you need to make an informed decision.

Mortgage searches are on the up

The 2022 property market got off to a flying start with mortgage search volumes by advisers increasing by close to 80%. This is according to information provided by the Legal & General Mortgage Club.

In comparison to the December 2021 figures, the January 2022 numbers rose by 91%. There was also a significant increase in searches on behalf of first-time landlords, which rose by 63%.

The information also suggests The Bank of Mum and Dad was a huge supporter for these buyers in January. Searches for people with gifted deposits increased by 88% in January 2022. There was an increase in the searches for landlords with gifted equity by 82%.

Challenges in the mortgage market

We know there are many financial challenges these days, and the January findings suggest a lot of people are looking to take better control of their finances:

  • There was an increase of 157% in searches for lenders willing to accept applicants with an unsatisfied default
  • There was an increase of 77% in searches for applicants with unsecured arrears
  • For applicants with missed mortgage payments, there was an increase in 90% of searches
  • There was a rise of 134% for applicants with a debt management plan
  • Searches for interest-only mortgages increased by 85%

Kevin Roberts, director, Legal & General Mortgage Club, comments: “There is still healthy demand in the mortgage market, but there are also signs that the cost-of-living squeeze is beginning to drive some borrowers to remortgage or find alternative mortgage solutions that help them better manage their finances. Advisers will have a critical role to play in helping many of these borrowers to secure a new fixed-rate mortgage or find a lender that is willing to support those with more complex circumstances. When advisers are dealing with these volumes, or with a case that doesn’t quite fit lender criteria, the role of technology cannot be overstated. Automating processes such as administrative tasks can give advisers back time to focus on helping borrowers secure the right mortgage for their needs. Our research tools continue to be an ally to intermediaries, and we remain committed to helping support brokers through new tech where we best can.”

Contact Williams of Petersfield for all your 2022 housing market needs

At Williams of Petersfield, we aim to support the Petersfield community as much as we can, and we know this is an extremely trying time. A lot of people are looking for support and guidance, and if you have any property or housing related questions, we are more than happy to assist you, so contact us today.

People Want To Face Communication With Agents: We Deliver

In selling your home, communication is vital. Whether this applies to the exchange of legal documents, setting a price or making sure that everyone is clear who the most likely buyer is, it is vital that clear communication is at the heart of the sales process. Continue reading “People Want To Face Communication With Agents: We Deliver”

Petersfield Property Prices – A Review

Found in East Hampshire, Petersfield is less than 20 miles from Portsmouth but it is also a market town of great repute. It would be fair to say that there is a lot to like about local life in Petersfield but the fact that there is a railway station in town, which connects to Portsmouth and London means that people can commute or travel easily from this base. The history of Petersfield has long seen it used as a stopping point for travellers, it was known as a coach stop between London and Portsmouth, and this is still a valid reason for considering the area and Petersfield property today.

While there is a lot to be said for the convenience and style of the area, if you are looking to make an investment, it is important that you consider the facts and figures. If you have lived in or around Petersfield for many years, you will know what the town has to offer but equally, given the importance of property investment, you need to make sure that you make an informed decision when it comes to property investment. This is why you should take the time to review Petersfield property prices.

Petersfield property offers some interesting options

As of October 2017, the average value of property in Petersfield stands at £512,035 and the average price paid for property in Petersfield in the past 12 months was £462,937. With respect to the past six and three months, the average price paid for property stands at £435,742 and £455,972. However, it is important to know that if you look at small sample sizes, there is a greater chance of outliers impacting on the true average price. It is important to measure how prices fluctuate but there will be times when looking at a small period of time aren’t of benefit because it doesn’t provide an accurate response.

If you are looking to buy to let in the GU31 postcode area, you should consider a one bedroom property which provides an expected rental yield of 4.76%. With a two bedroom property, you can expect a rental yield of 4.43% and there is a return of 3.72% for a three bedroom property. With a four bedroom property in GU31, there is a 3.13% expected yield on offer and if you invest in a five bedroom property, there is a 4.43% rental yield on offer.

In the GU32 postcode area, you will find that the best expected rental yield comes with a one bedroom property and this stands at 5.3%. If you have a two bedroom property, you can expect a 4.27% expected rental yield but the expected return from a three bedroom property falls to 2.94%. There is a lift with four bedroom properties in GU32 with the expected rental yield standing at 4.02% and while there may not be too many five bedroom properties in the GU32 postcode area, you should expect a return of 2.9%.

If you are interested in the Petersfield property market, be sure to contact Williams of Petersfield for support and guidance.