Sally & Laura’s Sales and Letting Predictions13 Jan 2022
Laura’s Prediction on the Sales Market
2021 was a very busy year in sales with demand outstripping supply pushing up house prices on average by 7% and in Glasgow by around 10%. The majority of properties that we sold in 2021 achieved over the home report value by around 10% which is great for sellers but not so great for buyers. Even with the run up to Christmas and dare I say the Omicron break out we still had offers and closing dates right up to Christmas week.
So what are my predictions for 2022!
Usually the start of the year we see numerous new buyers searching for their new dream home with couples over Christmas deciding this is the year to buy together. On the flip side we also see new buyers from newly separated couples either looking to buy separately or one staying in the current home and one looking to move out.
With these new buyers plus the buyers from last year who were unable to purchase we always start the year with high demand.
Over the last couple of years we have seen new stock coming to the market to meet this demand but so far 2022 the stock is not there. Many homeowners who now have good equity (with higher house prices) have decided to stay put and extend rather than move and it is affecting the rest of the market.
Saying that with inflation rates rising and house price growth slowing (perhaps to around 5%) we expect the demand and supply to level off. The bottom line is the market desperately needs more properties to meet the high demand and only with this will we see the market stablise.
If you are thinking of selling this year then get in touch with me to discuss further. There literally has never been a better time to sell!
If you are looking to sell your home in 2022, book your free home valuation today.
Letting Focus from Sally
2021 was a bumper year for landlords, with rents rising significantly year on year in many places across Glasgow and the West of Scotland, but if you wanted to get started as an investor it has been a bit more tricky. Pretty much every decent property has been snapped up at a closing date with most achieving significantly over home report value. With interest rates staying low and inflation on the up, we have seen a rise in demand for entry-level buy to let property investments. But what do I think will happen in 2022?
I think we will see property prices start to calm down – with the pent up demand from lockdown already starting to level off.
My top tips for buy to let investment areas in and around Glasgow – shh it’s a secret but if you want yield… think Paisley (the better bits), Tollcross and Queens Park (yep!)
If you want to focus on steady capital appreciation Battlefield, Cathcart and of course Dennistoun remains super strong for tenant demand. If you are considering adding to your portfolio, please get in touch we can offer advice only or a fuller sourcing and consultancy service.