Information contained in the Land Registry House Price Index indicates the average price of property, as of March 2022, stood at £278,436.
While there was a 9.8% annual increase, there was a slowing down in the rate of growth from the 11.3% recorded in February of this year.
This is the first time there has been a slowdown in the growth of house prices since December of last year. In a challenging market, people are looking for any sign of change, and inevitably, some people are pointing out this could signal as a sea change in the property market.
We are not as convinced about this as others, but it is worth noting, and looking at in more details.
Will the market change soon?
There will be many people sitting on the side-lines of the housing market right now. If you would prefer different market conditions before making a move, you’ll be looking for signs of change.
Jeremy Leaf, a former RICS residential chairman, said: “Although this is the most comprehensive of all the UK’s housing market surveys, it is a little historic. Nevertheless, the figures interestingly highlight the beginning of the change in the supply/demand balance. Rising interest rates and inflation contributing to a drop in real incomes is resulting in a reduction in quantity, if not quality, of enquiries. We don’t expect property prices to fall noticeably anytime soon while the huge shortage of stock in some price ranges and locations remains, particularly as so many are still on fixed-rate mortgages or do not need to arrange finance.”
While there are many reasons why property prices might fall, the fact is as long as supply outstrips demand, it is likely property prices will remain high, and continue to rise. There will be fluctuations in the marketplace, but anyone hoping for a swift change might find this doesn’t happen as quickly as they would like.
How are house prices faring in Petersfield?
It is always helpful to consider house prices in the local area. According to Rightmove, house prices in Petersfield are faring as follows;
“Properties in Petersfield had an overall average price of £467,538 over the last year.
The majority of sales in Petersfield during the last year were terraced properties, selling for an average price of £402,904. Detached properties sold for an average of £759,404, with flats fetching £256,185.
Overall, sold prices in Petersfield over the last year were 3% down on the previous year and 5% up on the 2019 peak of £445,153.”
As you can see, locally, property prices are 3% down on the past year, which stands against the national trend.
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.