|Winkworth Estate Agents Review The 2013 Property Market|
And give their predictions for 2014
It’s that time of year when we all look back over 2013 and assess how the year has been.
Here at Winkworth in Chiswick, we have had a remarkable year and wanted to share our assessment of this year and our predictions for 2014.
The property market started the year off as a normal year for the first six months. Since June though, it has been anything but typical. It seemed that all of a sudden, everyone wanted to live and buy in Chiswick!
We can entirely understand that sentiment of course, as more and more people are discovering the wonderful village atmosphere that Chiswick offers and the real community feel from its residents. What has caused the big increase in prices here though?
It’s a classic case of supply and demand - very little supply coupled with significant demand. The returns on property, in the mid to long term, have always outperformed just about any other investments and with interest rates remaining low for the foreseeable future, this will surely remain the case.
At Winkworth, we have sold a record number of apartments to Buy to Let investors this year and, even after the price rises, a Buy to Let can offer a great return on your investment. Typically, we are seeing a return of between four and five percent per annum on rental income. Combine this with capital growth and it is an investment that is hard to beat.
Pricing remains a very important factor even in this buoyant market. We have achieved record prices time and again, but it is crucial to value the property correctly in the first place. Sadly, we talk to vendors who have been on the market for some time with other agents. Almost invariably it is because their agent has put a very high value on the property, which was always going to be unachievable. Overvaluing is used as a way of gaining instructions by some agents and is not helpful to anyone. At Winkworth, we would like our vendors to choose us to sell their house, knowing that we will achieve the best price for them, but will not overvalue simply to win the instruction.
Not only do vendors appreciate our honest approach. Buyers do too. Which is why we invariably sell the properties that we have on a multi-agency basis with other agents. Honesty and experience are two things that we pride ourselves in.
There has been talk of whether this very buoyant market will continue into 2014? Well, certainly we predict that it is unlikely we will see the large price increases recorded in 2013, but nor will we see a fall in prices. We are selling to cash buyers or those who need comparatively small mortgages and are thus less vulnerable to changes in either interest rates or the job market.
So, in summary, a great 2013 is coming to a close and the indicators are positive for another great year in 2014. When you decide you’d like to realise the true value of your property, we are here to help.
Thank you Chiswick.
Happy Christmas and a prosperous New Year.