Jackson-Stops: Average property values set to increase 1.5% in 2020

Jessica Nangle

November 22, 2019

National estate agent Jackson-Stops expects property values to increase by 1.5% in 2020 assuming the UK leaves the EU.

The estate agent has recently stated its predictions for the year which included that properties priced between £500,000 and £1m will continue to be in demand, particularly in the three to four bedroom range.

This follows Jackson-Stops’ latest property market sentiment survey which found that 58% of buyers would most like to move into a home of that size in 2020.

The estate agent believes that even if Brexit uncertainty continues after 31 January, they do not expect to see a fall in transactions.

In their survey, it was revealed that over half (55%) of UK consumers believed that the property market has not been a priority for Boris Johnson.

This follows the Conservatives’ pledges of at least one million new homes over the next five years and a First Home scheme to help first-time buyers.

Nick Leeming, chairman of Jackson-Stops, said: “Once again the UK has been thrown into a state of flux due to the announcement of a General Election.

“However, whilst the knee-jerk reaction from some sellers may be to hold off listing their property until after the general election result, in truth this will have little impact on the housing market simply due to the time of year it has been called.

“The market is historically quieter throughout this time as vendors often wait to list their homes in the new year.

“However, some homeowners will be waiting for the outcome of the general election before they put their home on the market, and so we therefore expect to see a greater increase in activity than the usual in January next year.

“The UK has suffered a long period of political turmoil since the referendum, and although this can impact people’s confidence in the market, it is important to remember that buying or selling a home isn’t something that people do off the cuff.

“There is often an overriding reason for moving – whether this is being closer to a good school or childcare, or the need to upsize or downsize.

“These drivers do not simply stop because of changes to government.

“As such, today’s buyers are likely to be more committed to a sale once agreed if they are ‘must-movers’ and we expect the market will see its usual uplift in the new year.”

Jackson-Stops also expect price increases in the East Anglia and South East regions throughout 2020 of up to 3%.

Leeming continued: “We expect to see a rise in commuters and second home buyers moving to countryside towns and villages in 2020.

“Those buyers who haven’t had a pressing need to move or buy a second home have held off doing so over the past few years.

“However once we have clarity on our newly elected government and Brexit is underway we expect these buyers in urban areas to spring into action and we should see this reflected in transaction numbers.”

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