Oh what a year it has been!
As 2021 is coming to an end, it has been a record breaking year for the property market. It really will be a year that we will always remember in the industry. 2022 is likely to become calmer however with how 2020 and 2021 were, a few would say you can’t predict a thing!
All the team at Charles Head are incredibly grateful for the bumper year we have had, going from strength to strength. Looking back over the year we have taken on and sold some of the most beautiful properties including Ranscombe Manor and Broad Downs. We have done a record breaking sale of 95 properties from the 46 in 2020, in which we have increased our sales up by 206% and aim for 2022 to be as successful as this year has shown. It is so important to reflect back on what has happened over the month so we can learn, improve and adapt to what the next month could bring.
Valuations
Throughout the month of November we received unprecedented numbers of valuation requests for varying properties throughout the South Hams. Many potential vendors were wishing to wait until the New Year and Spring time before putting their onward plans into motion.
There were also discussions of the option of silently marketing properties prior to being ready to bring them to the open market. This is a very positive sign indicating that there will be more properties available in 2022, which is much needed to meet the current supply versus demand situation.
Developments
We have had the exciting opportunity to work with Hertford Investors in selling and managing the development of 6 Barns, a Farmhouse and the potential of 4 further New Build properties as the second phase. As soon as we launched the first 6 barns we knew that they were going to fly and so they did. Within 2 weeks of launching all 6 were under offer and we have had an extreme amount of interest in Phase 2 already. It is quite rare for such developments to arise especially in South Milton so it has been a pleasure to be able to assist throughout the sales process and provide many buyers their dream property in the South Hams.
This was Alisha’s first time managing a development, she has loved being on the Wakeham Team with Amanda and Nikki and has learnt so much along the way and is eager to work on more! Amanda has been involved in many developments in her working career over the last 10 years and has proven how great of an asset she is to Charles Head from the success of Wakeham Farm.
With a recent exchange on one of the properties and another four to follow shortly in the New Year, Amanda and Alisha are continuing to work with all parties involved as part of our sales progression team. We can’t wait to see the new owners start to settle in and are excited to continue to work with the Herford Investors. Watch this space!
What will happen?
There is no doubt that for demand for property has flourished over 2021 and we are still seeing high demand in December which in traditional times this would be unheard of. Over half a million purchasers benefited from 0% property taxation in the first nine months on 2021(Dataloft, HMRC) and we are continuing to see trends increase with hybrid working patterns. Many are still searching for their dream home and looking for the perfect work home life balance.
The festive season has arrived and every year more and more people browse properties during the post-Christmas Day festive period. In fact last Boxing Day, according to Rightmove statistics, visits were 54% higher than the previous year. Rightmove also recorded more than 51 million visits to their website between Boxing Day and the first working day of the new year, proving it’s a hugely valuable time to ensure your home is viewed by a large amount of potential buyers. Many people have time to take a break, sit back and think what their future may hold; for many this means their next place to call home.
We can all be certain that 2021 has seen an increase in house prices and it is undeniable that the South Hams remains a sought after location . Many are asking if prices will continue to rise is 2022 and although it is difficult to predict Rightmove have forecasted that the national house price may rise by 5% and a higher potential rise of 7% in the South West. The South Hams has always been in ‘The Bubble’ and prices have always been competitive in the area which has shown in 2021.
With little demand and still hot buyers on the scene, we believe that when January comes it will be a busy market of new instructions however we predict there will be more caution when it comes to offering. With the prediction of interest rates rising and the potential of down valuing this could cause more buyers to take longer to arrive at an offer than what we have seen in 2021. Recently we have witnessed more mortgage approvals fallen or down valued since the stamp duty holiday fell which can be supported by the Bank of England reporting only 67,199 mortgages were approved in October 2021 which has been their lowest since June 2020.
2022 will be an interesting year and we can’t wait to see what it brings to see if it follows the trends 2020 and 2021 brought us or if it will create a whole new one of its own. At any time if you would like to discuss the market and know when would be best for you to buy or sell we would love to have a discussion.
From all of us at Charles Head we wish you a happy and healthy New Year!