What is happening to house prices in 2023?
There has been a lot of talk about what will happen to house prices this year after recently hitting record levels, will they go up? will they go down? or will they just stay the same?
In this quick read find out all the facts you need to know about house prices right now.
After record breaking months of price increases in 2022 there has been a lot of speculation surrounding what will happen to the housing market in 2023. The mini budget announced in autumn somewhat shook the housing market but are we now returning to normality? Check out the facts below.
What is happening to the housing market right now?
- Average new seller asking prices have risen 0.9% after two months of falls, the biggest increase at this time of year since 2020.
- Average asking prices have risen in the North West by 1.5%.
- The number of prospective buyers contacting agents is up 4% compared to the same period in 2019.
- The number of prospective buyers contacting agents is up 55% compared with the two weeks before Christmas, the biggest New Year Bounce since 2016.
- Average monthly mortgage payments for first time buyers continue to fall as mortgage rates soften.
- Annual house price growth is still up 6.3%
- Views of homes for sale on Rightmove are up 11% compared to the same period in 2021.
What will happen to house prices in 2023?
- Rightmove is forecasting a drop in house prices by a mere 2%, which means prices will remain higher than they were after the incredibly busy period in 2021. To put that into context, this would mean average prices would be where they were in March 2022.
- Rightmove has said however it is a more encouraging start to the year than anticipated.
- It is thought that we will see a more 'normal' housing market with an average time to sell of around 60 days.
- Take a look at the house price index below for more information on what is currently happening to house prices.
What do the experts say?
Tim Bannister, Rightmove's Property Expert, says: "We're heading towards a more even balance between supply and demand next year but we don't expect more significant price falls in 2023. This is reflected in our prediction of a relatively modest average fall of 2%."
To put that into context, this would mean average prices would be where they were in March 2022.
He also added "It will be important for the vast majority of sellers to remember that a drop in your asking price is likely not an actual loss compared with what you paid for it, only a failure to live up to aspirations. Listening to your estate agent's advice about your hyper-local market and pricing right the first time can avoid a stale sale and the need for even greater reductions later."
So is 2023 the year to make a move?
The data is suggesting that the market will still remain strong in 2023 and return to the normality of a pre-pandemic market. House prices still remain at strong levels and mortgages rates are beginning to soften meaning buyer demand is returning.
If you are thinking of making a move this year then get in touch with us to discuss why now might be the right time to sell or get an accurate up to date valuation.
Contact us:
Bebington Branch
0151 644 6000
lesley@lesleyhooks.co.uk
Bromborough Branch
0151 334 5875
rachael@lesleyhooks.co.uk
Click HERE for a free instant online valuation.
*Data provided by Rightmove*
