As we bid farewell to a tumultuous year in the property market, it's time to look ahead to what 2024 has in store. From the ebb and flow of house prices to the dance of mortgage rates. Let's delve into our insights for the property and mortgage market in 2024.
1. The House Price Odessy
House prices may experience a modest drop, according to experts, with forecasts ranging from 1% to 7.5%.
Despite potential fluctuations, it's essential to contextualize these predictions. A 7.5% drop would merely bring prices back to early 2022 levels.
Local variations will play a significant role, making the impact unique to different areas. Kent, where we are based is in its little bubble with our continued development and good transport links.
Mortgage rates, having surged after the Autumn Statement in 2022, have now dipped below 6%, offering some relief for borrowers.
Expect a gradual decrease in rates in 2024, though the descent might not be as swift as the ascent.
Homeowners facing remortgaging decisions should brace for increased costs, even with falling rates.
Advice:In these uncertain times, it's important for potential homebuyers to plan their budgets carefully. If you'd like, we can send you our robust budget planner, which provides peace of mind by clearly outlining your income and expenses. Just reach out!
Approximately 1.5 million households will reach the end of fixed terms in 2024, leading to increased remortgaging activities.
Despite falling rates, homeowners may still grapple with significant cost hikes.
Seeking guidance from a mortgage broker can help homeowners secure the best deals tailored to their situations.
Once we secure a mortgage, we will monitor their rates in the build-up to completion, as part of our service. Something not all brokers do, and is not an option when you go direct.
First-time buyers, facing the hurdles of rising property prices, may opt for longer mortgage terms exceeding 35 years.
Lenders, like Halifax, extending their maximum borrowing age, indicate a potential shift towards accommodating longer mortgage periods.
The property market may favour buyers in 2024, with a projected rise in available homes.
A potential 'partial recovery' in sales volumes is on the horizon, fueled by increased confidence in stable mortgage rates.
A speculated drop in the base rate could trigger higher sales numbers and increased mortgage applications.
The closure of the Help to Buy scheme has left a void in the market, prompting speculation about the return of first-time buyer schemes and incentives.
The possibility of a crowd-pleasing scheme surfacing in 2024 gains momentum, especially with a potential election looming.
Stamp duty discussions continue to echo in the corridors of Budget and Autumn Statements.
The focus might shift to stamp duty for downsizers, aiming to free up larger homes for growing families.
After years of anticipation, leasehold reforms are finally progressing through Parliament.
Expected changes include cost-effective lease extensions.
Rents surged by 10.2% in 2023, and projections indicate a potential 5% increase in 2024.
For tenants facing financial strain, exploring options and seeking advice is crucial.
Increased expenses aren't limited to mortgage holders alone. While renting provides flexibility, owning a home entails making payments that contribute to the ownership of a valuable asset.
The Renters Reform Bill, long-awaited, is inching closer to reality.
While the ban on no-fault evictions under Section 21 faces delays, measures addressing rent regulation, pet ownership, and dispute resolution are in the pipeline.