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Premium Property Market Update

Want to know what is happening in the UK premium property market? Read this article from property expert Simon Gates.
Premium Property Market Update
With Easter behind us and the clocks having moved forward, it’s evident that Spring has arrived, bringing along with it the conclusion of Q1 2024.

Here are some of the key stats comparing this quarter to the same period in 2023 for the UK premium property market, which I define as £1m+:

New listings surged by 23.80%.
The number of properties for sale increased by 19.03%.
Sales agreed rose by 16.51%.
Price changes climbed 17.75%.
Properties withdrawing from the market saw an uptick of 11.06%.

So, what does this all mean and what are the opportunities that lie ahead in Q2?

The rise in new listings signals heightened confidence among homeowners looking to sell at the top end of the market.

This is great news for buyers as it gives them more choice and reason to enter the market after sitting tight with a lack of options and rising interest rates over the past couple of years. 

The positive sentiment in the market has filtered through from sellers to buyers with sales being agreed on the up as well.

However, it is not all sunshine and rainbows as the number of price reductions and properties withdrawing from the market have continued to increase as well.

There are still a number of sellers being overly optimistic on their initial asking price with 32.95% of properties having had a price reduction in Q1 and 12.9% of which have had multiple price drops.

The number of sales being agreed and price reductions happening highlights there is not a demand issue, but more of a price sensitive issue and sellers perhaps not factoring in that they have more competition from other sellers in the market and more choice for buyers who are having to factor in higher interest rates into their affordability.

With more choice comes more negotiating power for buyers and this can be seen with stats from Zoopla highlighting that 41% of new sales are being agreed at 5% below the asking price and 21% of new sales for more than 10% below the asking price. 

In summary, Q1 2024 has seen a promising start for the UK premium property market,.

If you own a unique or premium property and are considering moving this year, get in touch with our team of property experts to get your home sold.

Thank you for reading.

Simon Gates - Opening The Gates