2020 Predictions

How will the property market fare in 2020?

A new year is upon us, which means dusting off our crystal ball to reveal what we think the next 12 months will hold for the property market.

For those living under a rock, here’s what you may have missed over the past couple of months!

The UK made a resounding choice

After months of uncertainty, the polls revealed a significant win for the Conservatives in the December 2019 general election. It seemed voters, along with the government, now just want to “get Brexit done”. So, what does this mean for sellers and buyers?

A market upturn for 2020

The general consensus seems to be that the result has taken away some uncertainty, and in the short term at least, we are seeing a renewed and vigorous interest from buyers and sellers, which is an early indicators of strong levels of trading for 2020. We are also seeing an increased number of investors indicating that they are actively investing locally – particularly in locations close to Slough and Burnham stations and of course Slough trading estate where they can feel assured of a prompt let.

Interest rates

Our sister company Asset Plus Mortgage Solutions, based in Burnham High Street, predicts that interest rates are “likely to begin a gradual process of normalisation in 2020” however at the moment they still have access to some ultra-low mortgage rates which hold great appeal. “In addition to our excellent products for First Time Buyers, we are also refinancing some landlord portfolios either to release equity for further investment or to make their investments run more efficiently”, confirms Steve Colburn, Mortgage Director of Asset Plus.

Property prices

In its Housing Forecast 2020, the Royal Institution of Chartered Surveyors (RICS) has predicted a “modest” 2% house price rise despite the new certainty around Brexit. This is mainly down to the recent drop in new properties coming onto the market as a result of seller caution which has added to the stock shortage. This indicates that, despite renewed market confidence, until the deal is done, there is still some hesitancy in making their next move.

Location, location, location

As always location is hugely important and whilst 2% is a modest nationwide average, other areas will perform stronger than others, which is what we anticipate within our local area. “Slough’s incredible commutability, which is only to be strengthened when Crossrail finally opens in 2021, really drives demand for those who want quick and easy access to London. As the commuter links continue to improve, direct comparisons of the value for money you get with property in London, Hounslow and Uxbridge compared to Slough, Cippenham and Burnham really raise the areas profile, making it an ideal choice for buyers when making their next move – particularly when you consider also the great schooling and improved quality of life.” affirms David Arfield, Branch Manager of our Cippenham branch.

With confidence on the increase and a renewed vigour, if you are thinking of selling and letting, do not hesitate to contact Cameron King on the Bath Road who will give you bespoke and professional advice, on 01628 667442.