Has there ever been a better time for Portsmouth home sellers?
Portsmouth house prices are anticipated to rise throughout 2021 after the Stamp Duty cut (and subsequent extension until the summer/autumn) and the newly revealed 95% mortgages for Portsmouth first-time buyers (and Portsmouth homeowners with minimal equity).
In addition, the continued low-interest rates and the demand for larger homes because of lockdown means the Portsmouth property market should remain bullish for a while. There is a surge in potential buyers putting themselves on mailing lists with Portsmouth estate agents, making the biggest disparity between supply and demand for Portsmouth property for many years.
Fears of a cliff edge for the Portsmouth housing market at the end of March have dispersed, somewhat due to the Stamp Duty tax deadline extensions, but also because the elevated level of buyer demand caused by the three lockdowns has continued to swell since the start of 2021 meaning that today …
54% of Portsmouth properties on the market are Sold (STC)
Interesting, when utilising data from the theadvisory.co.uk website, the Portsmouth average for the last five years has only been 38%, meaning there has been an uplift of 13.4% in the proportion of Portsmouth properties sold (STC) compared to that five-year average.
Yet what can’t be forgotten is that 9 out of 20 Portsmouth house sellers are also Portsmouth house buyers as well, so whilst they do indeed achieve a higher price for their Portsmouth property, they also have to pay more for the Portsmouth property they want to buy.
So, how much will Portsmouth house prices rise by?
Like all things in life, it’s all about demand and supply. I have discussed the demand, yet what about the supply of properties for sale?
There are 15% fewer Portsmouth properties for sale today compared to 6 years ago
Whilst February saw a lower than normal level of new properties coming onto the Portsmouth property market, the easing of the lockdown road map and faster rollout of the vaccine is also persuading more Portsmouth homeowners (especially those older Portsmouth homeowners who have had their jabs) to start making the first steps towards moving home in 2021.
This will mean there will be more Portsmouth properties available for sale in the conventionally busier post-Easter market in the coming weeks and months which should cause more equilibrium and help keep Portsmouth property prices in check.
These are interesting times for the Portsmouth property market. If you are a Portsmouth homeowner or Portsmouth landlord looking to buy or let your Portsmouth property in the coming weeks or months, don’t hesitate to drop us a line to discuss what all the points raised in this article mean to you.