According to the latest Property Sentiment Index released by property website, On The Market this morning, 73% of active investors in the UK are confident that they will purchase a new property within the next three months as both buyer and seller sentiment remains strong across the country.
An average 73% of investors in the UK are confident that they will purchase an additional property over the next quarter according to On The Market’s latest Property Sentiment Index released earlier today, as despite a decline in transaction numbers in the first quarter of the year, rising transaction and mortgage approval numbers indicate that the market has overcome the slight dip in consumer confidence following the mini-Budget in September.
While a UK average of 73% of investors are confident they will purchase a new property in the next three months, 76% of buyers in the Northwest have stated they are confident they will purchase over the next three months – +3% higher than the UK average as more investors are comfortable investing in the regional cities over London to achieve higher yields, higher rental demand, and higher rental costs for their properties.
On The Market’s Property Sentiment Index also reports an over +3% increase in capital growth over the last 12 months, as the average UK house price has reached £414,580 – £12,309 higher than the previous year.
“Although some buyers will inevitably be worried about higher mortgage rates, there seems to be a growing realisation of the need to adapt to a new, elevated level of pricing, in place of the unsustainable rock-bottom rates of the past.” Jason Tebb, Chief Executive Officer at On The Market.‘‘
At Beech Holdings we have experienced first-hand an increase in buyer demand for our available off-plan properties, as more buyers are looking to reserve a property investment and delay the application for a mortgage until interest rates settle. With some of our properties postponing an investor’s mortgage application for two years, this allows them to secure a rate at a later date when rates have calmed, and the market is less volatile.
Since the current mortgage interest rates could see you paying almost double, if not triple, your monthly payments compared to the previous year, why not reserve your future investment today and postpone your purchase for a future market?