CHRISTMAS OFFER Subscribe to Somerset Life today CLICK HERE

Knight Frank predicts an active year for the West Country property market going in to 2013

PUBLISHED: 12:53 18 January 2013 | UPDATED: 22:38 20 February 2013

Christopher Bailey is Head of National Waterfront at Knight Frank LLP

Christopher Bailey is Head of National Waterfront at Knight Frank LLP

We can be cheered by what appears to be an 'active' marketplace for buying and selling in 2013


Positive Indicators

We can be cheered by what appears to be an active marketplace for buying and selling

WORDS BY CHRISTOPHER BAILEY

Knight Frank is certainly starting 2013 in a very positive frame of mind, and we have been busy since 2nd January. Reflecting on the West Country market throughout 2012, we saw a steady, gradual improvement throughout the year, and there is every indication that we will see an active market in 2013.

Overall, 2012 was certainly a better year than 2011; we experienced a strong spring and early summer market with activity tailing off during the summer holidays. This quiet period was compounded by the fantastic distractions of the Golden Jubilee celebrations and the Olympics. Encouragingly, we then had a very active autumn market that continued right up to the Christmas holidays.

For those thinking about either buying or selling property in 2013, some cheer should be taken from recent statistics that have measured activity in the West Country market in the weeks leading up to Christmas compared to the same period in late 2011.

The number of active property buyers registered with Knight Frank increased by 3%, viewings increased by 29%, offers on properties were up by 33%, and offered accepted were up by 71%.

Three times as many properties were sold in the run-up to Christmas 2012 as compared to the same period last year.

Knight Franks Exeter office currently has 9 buyers on its books for every property it has marketed for sale. This all bodes well for the months ahead.

Although 73% of Knight Franks Exeter office sales throughout 2012 were priced under 1.5m across all levels in the market, we think it is unlikely that we will experience any significant price increases in the year ahead. However, the best in (all) class properties continue to attract competition, and even bidding scenarios, leading to owners sometimes achieving more than the guide price. However, in order to attract enough potential buyers to create the competitive environment, it is crucial that sellers set their guide prices at a realistic and attractive level. Buyers continue to be ever more discerning; sensible, realistic pricing remains absolutely key to successful sales.

And some further advice to potential sellers. It is vital for the necessary due diligence in preparation for a property being marketed. Assembling all the legal information in advance will enable the selling agent to ask the purchaser to exchange promptly and ensure that once terms have been agreed, the impetus of the sale is maintained right up to the exchange of contracts.

Over the last few months we have noticed an increasing number of sales transactions being delayed, and in some circumstances failing to sell, simply because the necessary legal preparations were not in place. These delays can lead to as much as a 10% reduction in the sale price, or to the sale actually falling through. These situations can be easily avoided by simply instructing a conveyancing solicitor at the same time as choosing the most suitable selling agent, and then instructing the solicitor to carry out the necessary due diligence at that early stage.

Another aspect for many potential buyers (and, therefore, sellers in due course) to consider is mortgage availability. The message from the media continues to be that it is difficult to get adequate borrowing to purchase properties. However, borrowing can be relatively cheap at the moment.

Interest rates remain at a historic low and some mortgage lenders will consider potential borrowers on a case-by-case basis. Therefore, potential borrowers should discuss their individual, overall financial situation with a number of money lenders as part of their early preparation for their property search.

Knight Frank has its own independent team of mortgage brokers who have the benefit of having developed a close relationship with a wide number of private and high street banks over many years. Many potential borrowers are surprised by the relatively attractive deals that are available to them which are not widely advertised.

If you would like to discuss any aspect of your interest in property so we can give you our impartial, confidential and professional advice, please contact us. n

Christopher Bailey is Head of National Waterfront at Knight Frank LLP. 19 Southernhay East, Exeter. 01392 848822 or 07795 238983.


Positive Indicators


We can be cheered by what appears to be an active marketplace for buying and selling

WORDS BY CHRISTOPHER BAILEY

Knight Frank is certainly starting 2013 in a very positive frame of mind, and we have been busy since 2nd January. Reflecting on the West Country market throughout 2012, we saw a steady, gradual improvement throughout the year, and there is every indication that we will see an active market in 2013.

Overall, 2012 was certainly a better year than 2011; we experienced a strong spring and early summer market with activity tailing off during the summer holidays. This quiet period was compounded by the fantastic distractions of the Golden Jubilee celebrations and the Olympics. Encouragingly, we then had a very active autumn market that continued right up to the Christmas holidays. For those thinking about either buying or selling property in 2013, some cheer should be taken from recent statistics that have measured activity in the West Country market in the weeks leading up to Christmas compared to the same period in late 2011.

The number of active property buyers registered with Knight Frank increased by 3%, viewings increased by 29%, offers on properties were up by 33%, and offered accepted were up by 71%.
Three times as many properties were sold in the run-up to Christmas 2012 as compared to the same period last year.
Knight Franks Exeter office currently has 9 buyers on its books for every property it has marketed for sale. This all bodes well for the months ahead.

Although 73% of Knight Franks Exeter office sales throughout 2012 were priced under 1.5m across all levels in the market, we think it is unlikely that we will experience any significant price increases in the year ahead. However, the best in (all) class properties continue to attract competition, and even bidding scenarios, leading to owners sometimes achieving more than the guide price. However, in order to attract enough potential buyers to create the competitive environment, it is crucial that sellers set their guide prices at a realistic and attractive level. Buyers continue to be ever more discerning; sensible, realistic pricing remains absolutely key to successful sales.

And some further advice to potential sellers. It is vital for the necessary due diligence in preparation for a property being marketed. Assembling all the legal information in advance will enable the selling agent to ask the purchaser to exchange promptly and ensure that once terms have been agreed, the impetus of the sale is maintained right up to the exchange of contracts.Over the last few months we have noticed an increasing number of sales transactions being delayed, and in some circumstances failing to sell, simply because the necessary legal preparations were not in place. These delays can lead to as much as a 10% reduction in the sale price, or to the sale actually falling through. These situations can be easily avoided by simply instructing a conveyancing solicitor at the same time as choosing the most suitable selling agent, and then instructing the solicitor to carry out the necessary due diligence at that early stage.

Another aspect for many potential buyers (and, therefore, sellers in due course) to consider is mortgage availability. The message from the media continues to be that it is difficult to get adequate borrowing to purchase properties. However, borrowing can be relatively cheap at the moment.

Interest rates remain at a historic low and some mortgage lenders will consider potential borrowers on a case-by-case basis. Therefore, potential borrowers should discuss their individual, overall financial situation with a number of money lenders as part of their early preparation for their property search.

Knight Frank has its own independent team of mortgage brokers who have the benefit of having developed a close relationship with a wide number of private and high street banks over many years. Many potential borrowers are surprised by the relatively attractive deals that are available to them which are not widely advertised.

If you would like to discuss any aspect of your interest in property so we can give you our impartial, confidential and professional advice, please contact us.

Christopher Bailey is Head of National Waterfront at Knight Frank LLP.
19 Southernhay East, Exeter.
01392 848822 or 07795 238983.

0 comments

More from Homes & Gardens

Tuesday, October 23, 2018

Every house has a history, some more so than others, but as Catherine Courtenay discovers, it’s very often the homeowners themselves who create its unique identity

Read more
Wednesday, September 26, 2018

As we head into Autumn, the change in season is all around us. From the leaves on the trees turning burnt orange and fiery red, to dark mornings and nights bookending our days. As we put the clocks back an hour to battle the darkness, here’s some top tips on how you can keep your home warm and costs down this Autumn.

Read more
Tuesday, September 18, 2018

An 18th century manor house, which played a pivotal part in the history of English poetry, is up for sale

Read more
Friday, August 31, 2018

Rural energy provider, Calor, gives some top tips for homeowners wanting to make their houses cosy and warm in time for the colder months.

Read more
Sunday, July 1, 2018

Residential property company heylo recently signed the Armed Forces Covenant, pledging its commitment to fair treatment and support to the Armed Forces community, including regulars, reserves, veterans and their families. The signing took place in a ceremony held at Wellington Barracks

Read more
Monday, June 25, 2018

Gardener and broadcaster Toby Buckland delivers his expert advice

Read more
Monday, May 21, 2018

We look at the people who are flying the flag for Somerset at this year’s prestigious Chelsea Flower Show

Read more
Thursday, May 3, 2018

From flower gardens and greenhouses, to allotments and endless cider, people from all over Somerset are invited to down tools and celebrate their gardens no matter what size, shape or form on May 13 for Somerset Garden Day

Read more
Wednesday, February 7, 2018

Add colour to your garden now with the top flowers of March and this season will be all the brighter

Read more
Wednesday, January 24, 2018

Houseplants are a hot interior trend at the moment and can completely transform a room - but they have their downsides! Gardener and broadcaster Toby Buckland delivers his expert advice

Read more
Thursday, December 21, 2017

Richard Cooke and his partner Michael Taylor knew they wanted to buy their home as soon as they saw the front garden bursting with life and colour, they tell Victoria Jenkins

Read more
 
A+ South & South West

Newsletter Sign Up

Sign up to the following newsletters:

Sign up to receive our regular email newsletter

Our Privacy Policy


subscription ad


Topics of Interest

Food and Drink Directory

Subscribe or buy a mag today

subscription ad

Local Business Directory

Property Search