What Are The House Prices Near You?09th June 2022
To give an overview of the current housing market, housing prices have increased dramatically between 2020 and 2022 – no doubt a direct result of the coronavirus pandemic.
Looking at general house prices shows that a home in Manchester cost approximately £212,820.31 in 2020, increasing to £227,057.68 in 2021, and currently rests at £232,867.76. When compared to general house prices in London over the same time period, you can see even more of an increase, with houses rising from £781,315.30 in 2020 to £839.738.91 in just two years.
JonSimon Estate Agents know just how stressful buying and selling houses can be, so we pride ourselves on giving the support and guidance that you need to complete the process. We have over 10 years of experience within the property industry, and our award-winning letting agents across three dedicated local teams are certain to be able to support you on your buying, selling or letting journey.
We’ve received Gold accolades in both 2017 and 2018 from the British Property Awards, and we are credited by the National Association of Estate Agents and the Royal Institute of Chartered Surveyors, so you know you’ll always be in expert hands with our team.
If you’re interested in getting in touch with us to find out more or to book a FREE instant home valuation, we have offices in Radcliffe, Burnley and Ramsbottom you can visit. Otherwise, feel free to call our Radcliffe office on 0161 723 1155, our Ramsbottom office on 01706 489 966, or our Burnley office on 01282 427445.
What are the current house prices looking like?
Depending on the buyer’s and seller’s circumstances, timescales may vary when purchasing a house. A guideline house-buying cycle and timeline are presented below.
The initial finding of a property and putting in an offer should take approximately the first six weeks or so. Once accepted, you will receive a survey to check out the condition of the property before being asked to pay your deposit – all of which can take between one month and three months.
During this time, you will need to work out exactly how much you can borrow in order to make an offer you can ultimately afford. Once your offer has been accepted, you’ll need to find and apply for the best mortgage you can find. This can take between a couple of weeks to a couple of months, so make sure you’re prepared to wait.
The next step is choosing a conveyancing firm that will transfer the property to you officially. The lender will then check your details and that you are reliable to lend to. Meanwhile, your solicitor will carry out all necessary searches, plus a property survey if it’s required.
This is when you’ll receive a mortgage offer, deposit your money to your solicitor, exchange contracts, sign the transfer deed, pay for the house itself and then finally you’ll have your new home.
Real estate cycle
The real estate cycle is used within the property market to predict the best times to hold, sell or buy properties. The cycle consists of recovery, expansion, hyper supply and recession.
- – Recovery is difficult to identify but is essentially when below-market value properties begin to increase again.
- – Expansion is when the public begins to regain confidence in the economy, and there’s an increased demand for housing.
- – Hyper supply is when supply begins to significantly exceed demand, which can lead to recession.
- – Recession is signalled when supply exceeds demand for a very long time and landlords are forced to reduce rental rates in order to attract new renters.
Further impact: Seasons, holidays and economic cycles
There is a wide range of things that can impact your house-buying cycle.
One of the factors that has a huge impact on the housing market and demand is the season. Being able to identify the factors that influence your region is important because it allows you to understand the impact that the seasons can have on the housing supply. In places where the climate is cold, the market slows down, whereas warmer places experience an influx during the winter months where people are either relocating or buying a second home.
Another factor that impacts the real estate market is the time of year in relation to holidays. Potential buyers are usually reluctant to move their families in the middle of the year, especially if they have children attending school, so they will typically wait until a holiday occurs. A popular time to move is during the school holidays, whilst early on in the year, as a rule, would be one of the worst times because of the holiday season and more unpredictable weather patterns.
The economy as a whole has the largest impact on the property cycle. When the economy is doing well or in an upward trend, purchases increase as buyers feel more confident in buying homes. In the same way, if the economy isn’t doing so great, the real estate market will follow a downward spiral, too. Sometimes the government will intervene with policies to help boost a market when a particularly long recession is taking place. Policymakers could reduce taxes or implement different homebuyer programmes as an incentive to buy properties, and this can greatly influence the housing market cycle.
Our House Price Data – What can I expect to see from house prices in regions across the UK?
Based on data we’ve collected from 2020 onwards, trends show that general house prices are increasing and aren’t expected to plateau any time soon.
Looking firstly at housing trends in Manchester shows us that the average sale price for a terraced house in 2022 is £183,298.92, with a detached house costing approximately £446,130.23.
The general house prices in Manchester have now risen to £232,867.76, being considerably cheaper at £212,820.31 this time two years ago. After such a surge, you might be wondering “what about house prices in my area?” Well, the coronavirus initially caused the market to slow down because of job loss. Also significant was the stamp duty holiday in 2020, which led to many people re-evaluating their homes after the lockdown. It’s likely that prices will remain where they are, but at some point, the recession must give way to recovery. Independent real estate agent Maurice Kilbride states that “last year’s rises are simply unsustainable.”
Moving on to Birmingham, the general house prices rose from £211,811.65 in 2020 to £235,315.05 in 2021. Interestingly, they then decreased slightly in 2022 and now average at £232,184.28. Research shows that Birmingham’s average income to average house price ratio is considerably lower than many nearby cities, meaning that a large amount of the population is developing significant spending power compared to the relatively low rental costs and property prices.
This is certainly not the case in London, where the average sale price for a flat comes in at £640,503.23. In just the past year, general house prices in London have risen from £781,620.40 to £839,738.91. When compared with the fact that the general house price for the UK is just £352,715.58 in 2022, the difference is made abundantly clear: house prices in London are by far the most expensive – which, being the capital, may come as no surprise.
Figures for the UK as a whole between 2020 and 2022 show that the average sale price for a terraced house is £267,907.90 whilst the median sale price for a terraced house is £198,000. This is significant because Government statistics show that UK house prices grew by 0.3% in the year to July 2019, down from a rise of 1.1% in June 2019. The UK Property Transaction Statistics showed that on a non-seasonally adjusted basis, in the 3 months to July 2019, the estimated number of transactions on residential properties with a value of £40,000 or greater was 240,180, down 8.1% compared with the 3 months to July 2018.
So, although house prices do seem to be rising year on year, there are some statistics that are positive for those wishing to purchase a house in the coming years without having to give up all of their savings thanks to the pent-up demand.
Our House Price Data – What can I expect to see from house prices in Ramsbottom, Burnley and Radcliffe?
Average asking prices for all types of houses in Ramsbottom have increased by approximately 39% in the past two years. In May 2021, the price was £252,809, and in May 2022, the price is £351,453. This trend has remained steady among detached, semi-detached and terraced houses. Interestingly, the average asking price for flats in this area decreased by 10% from £245,710 in May 2021 to £220,625 in May 2022.
Our data suggests that house prices in Ramsbottom are likely to increase with the exception of flats, which don’t appear to follow the regular trends.
Average asking prices for all types of houses in Burnley have increased by approximately 5% in the past two years. In May 2021, the price was £151,241, and in May 2022, the price is £158,702. This trend has remained steady among detached, semi-detached and terraced houses. Interestingly again, the average asking price for flats in this area decreased by 9% from £117,841 in May 2021 to £107,722 in May 2022.
Similarly, our data suggests that house prices in Burnley are likely to increase with the exception of flats, which don’t appear to follow the regular trends in this area either.
Average asking prices for all types of houses in Radcliffe have decreased by approximately 3% in the past two years. In May 2021, the price was £302,051 and, in May 2022, the price is £292,147. This trend has remained steady among detached houses and flats. Interestingly, the average asking price for terraced houses in this area increased by 18% from £164,219 in May 2021 to £193,961 in May 2022. Semi-detached houses also experienced a slight increase of 3%.
Our data suggests that house prices in Radcliffe are likely to decrease, with the exception of semi-detached and terraced houses, which don’t appear to follow the regular trends.
What to expect from the house-buying process
The very first step when buying a house is to save for a mortgage and decide your price range. In general, the deposit will be 5% of the overall asking price of the property, so it’s worth remembering that a bigger deposit usually means you can apply for mortgages with lower mortgage interest rates.
You then need to decide how much you can borrow and repay comfortably. Mortgage lenders will assess whether you’re suitable for a mortgage and how much you can afford to repay from any loans. This usually includes looking at your credit score to determine your income vs living expenses and any other repayments such as credit card repayments and utility bills, for example.
Once you know how much you can borrow, you can look for a property you’d be interested in. At JonSimon, we have a wide range of properties available to rent in Burnley, Ramsbottom, Radcliffe and the surrounding areas.
Next, you’ll have to request to view the property, apply for an AIP (agreement in principle)and then make an offer. You’ll first want to get a property solicitor or conveyancer and a property survey, but then you’ll be able to exchange contracts and move in!
For the property solicitor, they’ll be necessary for the legal processes that happen after your offer has been accepted. This involves a range of searches being carried out, creating and checking contracts and dealing with stamp duty if there’s any to be paid. The property survey will assess the condition of your new home and help you to uncover any structural problems there may be. The beauty of this step is that it allows you to decide how much to budget and offer and can even help you to negotiate a lower property price if there are several things that need replacing or repairing.
Finally, you’ll need to set up your bills and then you’re free to enjoy your new home. As soon as bills are out of the way, you’ll be able to relax and settle in. A top tip for making the move as stress-free as possible is to plan as much in advance as you can. Remember to change your address on any official documents or forms of ID you have so that everything is as straightforward as possible for you.
Why choose JonSimon?
We have a range of 5-star reviews, shining testimonials and plenty of awards that prove our contribution to the market. We offer a complete service, ensuring you have accurate valuations and that your promotional content reaches the right people. Alongside managing the legal paperwork and other bits and bobs, we pride ourselves on our levels of care and duty. Our team have been proving themselves as professionals for over ten years now, and we can guarantee that we’re up to the task.
Not only are we there for both you and your tenants, but we aim to give you complete peace of mind so you can focus on other more pressing matters. Our standards are nothing less than the best, and we’ll manage your property with professionalism at all times, including regular maintenance, rent collection, access to our supply of contractors and provision of legal advice.
What are you waiting for? Get in touch via email at email@example.com or visit one of our Ramsbottom, Burnley or Radcliffe offices today. Our lines are also open from 9:30am Monday to Saturday – call Radcliffe on 0161 723 1155, Ramsbottom on 01706 489 966, or contact Burnley on 01282 427 445.