TwentyCi National Homemover Audit Shows House Prices on the Rise with Silver Economy Driving Momentum
In the first of a new regular report into the property market, called the TwentyCi National Homemover Audit**, it has been revealed that, despite a bumpy year, the UK housing market is surprisingly buoyant. The report shows that average house prices are up by 0.7% in Q2 2017 compared to the same quarter in 2016, currently standing at £298,916, and exchanges are up 6.3%*. The TwentyCi National Homemover Audit, created by life event data firm TwentyCi, is believed to be the biggest, most comprehensive report of its kind, drawing from 29 billion qualified data points to create a factual view on 99.6% of all home moves across the UK.
Other key findings from the TwentyCi National Homemover Audit are:
The silver economy: People aged 66+ have played a significant role in driving momentum this quarter, with residents aged 66+ showing 56% more exchanges year-on-year. There has also been a dynamic shift in the number of people opting to live alone, with 69% more exchanges for homes occupied by single adults.
Colin Bradshaw, Chief Customer Officer at TwentyCi, comments: “One of the unique aspects of the TwentyCi National Homemover Audit is that it provides insight not only into the shifts in the property market itself, but also the people behind the changes. It’s interesting to see the impact that older consumers are having as they increasingly become the age group with the highest disposable income. It seems that pension reforms, such as the ability to cash in annuities, and even new mortgage deals for people aged 70+, have led to a boost in older home buyers.”
Decline in buy-to-let: 2017 has seen a shift in tenure with a 25% drop in property exchanges for properties bought for buy-to-let, more than likely a consequence of the 3% surplus Stamp Duty tax introduced in April 2016 and uncertainty around the impact on landlords of the proposed ban on agency letting fees.
Conversely, exchanges on owner-occupied properties were up by 14% year-on-year, underscoring a positive shift towards home ownership that is generally reflected nationwide.
Online on the up: There has been a significant shift towards using online-only estate agents. While they still only represent a small portion of all exchanges (5%), online estate agents’ market share has increased by 57% this year.
Independent Property Market Analyst & Commentator Kate Faulkner says: “We are seeing shifts in the housing market like never before. This data from TwentyCi provides a layer of transparency and understanding to the industry and homemovers. It’s interesting to see the impact of the government tax hikes on the landlord market. Although it may appear ‘good news’ initially that there are fewer buy-to-let investors, this is likely to back fire on tenants as where there is a shortage of rental properties, rents may rise. However, it’s also likely to hit the economy which is already slowing. A landlord spends thousands checking a property and letting it, supporting all manner of trades and letting experts. A loss of money in this sector will surely impact on earnings, and therefore on economic growth.”
To see the full extended TwentyCi National Homemover Audit in more detail, including monthly changes in exchanges, fall-throughs and property withdrawn, regional figures and also detail on the rental market please click here.