Welcome to the first edition of the local housing market for 2019. If you read our annual round up, you will, by now know that December and January are generally the quietest months of the year when it comes to house sales. Would it, therefore, surprise you to hear that in January 2019, Lancaster outperformed January 2018?
In many regions across the UK, the housing market is still being reported as subdued. In London and the South East Agents have been reporting sales falling through and prices starting to fall, yet The Guardian newspaper reports that the North is having the fastest house price growth since the referendum.
Back in Lancaster, house prices are stable - when you compare the figures for LA1 to January 2018 - house price growth stands at just 0.01%. Over a 5 year period, it stands at 16%. Stable however is great for the local market. It is also sustainable. Let’s take a closer look at January.
What happened in January?
In January 2019, 69 properties went under offer. This was 3% up in 2018 and 11.5% up on the previous month when just 62 homes sold in December. What is slightly concerning is that the highest priced property to sell in LA1 this month was an apartment at £280,000.
New instructions increased dramatically across the region. They were up 65% on December and 25% compared to November 2018. This is very much due to many people putting off moving plans before Christmas and those who like to make a change for a New Year. For many, a new year is often a new start.
Januarys’s sold breakdown is as follows
Upto £125,000 30 properties
£125,001 - £250,000 37 properties
£250,001 - £500,000 2 properties
£500,000 0 properties
What happened in the higher end market?
The higher end market is still exceptionally quiet in Lancaster. That said there are only 29 properties currently listed for sale over £400,000, even less over £500,000.
When I looked further afield into LA2 though - there were just 11 sales in the entire region. There were just 2 sales above £500,000 and both of those homes had been trying to sell for some time ( 2016 and 2017 ).
What about the lower end of the market?
It is great to see the lower end of the market perform well. 43% of all the property sales were under £125,000. The lower end needs to sell, in order for property chains to begin. Of the 30 property sales, 21 of these were terrace homes.
What type of property sold?
I always like to see the type of home that sold. This month over half of all property sales ( 55% ) in Lancaster were terraced homes. Back in June 2018, it was just 39%. I’ve always said that homes which have small yards sell better in the winter than the Summer as buyers priorities focus more on the interior of the home than the exterior.
Sales by house type
Semi detached 15
Flats / Apartments 11
Sales by area
LA1 1 7 ( 6 were apartments )
LA1 2 18 ( 11 were terraces )
LA1 3 20 ( 16 were terraces )
LA1 4 13 ( 6 were semis)
LA1 5 11 ( 6 were terraces )
15 different estate agents were involved with the 69 property transactions that sold in January 2018. At JDG we agreed 1 in 5 of all property sales. 25% of all semi-detached homes sold through our agency.
We had some great success stories in January. Two of our new properties sold before they even hit Rightmove to registered buyers on our database. Knowing what they were looking for, we were able to call them straight away, plus it also helped that we had sold their homes too! One-third of all our sales were also brand new to the market in January.
There is no doubt that 2019 is going to be an interesting year for the housing market. There is certainly uncertainty out there, nobody seems able to predict Brexit and what will happen. But do you know what? This month we have been selling homes in Lancaster for 30 years. I’m sure we will continue to do so.
In this market, it is about making your own market. Make sure you choose an estate agent with a proven track record, enthusiasm and one which knows what their registered buyers are looking for!
*All figures have been taken from Rightmove Intel.
Thinking of moving? Why not try out our handy online valuation tool? It is not as accurate as having us around but in under 60 seconds, you could have a good indication as to what your home may be worth. Why not give it a go!