Published on December 18, 2024
Insights into the Private Housing Sector
Key Trends and Statistics (December 2024)
Holdings
Properties
Freeholds
Holdings|Freeholds|Properties
Published on December 18, 2024
Key Trends and Statistics (December 2024)
The average UK house price remained static at £290,000 in November 2024, nearly eight times the average individual annual gross earnings. Northern Ireland saw the highest growth in house prices over the past year.
Sales volumes in December 2024 were 16% lower than the previous year, reflecting a seasonal slowdown. However, prospective buyer registrations were higher than in December 2023, indicating cautious optimism for 2025.
The average number of viewings per available property dipped to 1.5 in December 2024, consistent with seasonal trends.
25% of adults reported difficulty affording rent or mortgage payments, highlighting ongoing affordability challenges.
Tenant demand slightly reduced in December 2024, but supply remains tight, with an average of 7 applicants competing for each available property.
In December 2024, average rents stood at £1,396 in England, £991 in Scotland, and £777 in Wales. While rents have risen in some areas, there are signs of stabilisation in others.
Rental arrears decreased in December 2024, suggesting a slight improvement in tenant finances.
The average void period remained static at 2.7 weeks, indicating a steady lettings market.
The Bank of England base rate was held at 4.75% in December 2024, with inflation dipping to 2.5%—still above the 2% target.
The UK economy saw a slight decrease in GDP in November 2024, reflecting broader economic uncertainty.
Agents report a sense of market stabilisation, with hopes for increased sales volumes in 2025.
Positive market activity is expected to grow further if interest rates are cut in early 2025.
Cautious optimism prevails, with some properties selling quickly while others take longer.
From April 2025, increases in Stamp Duty are expected to impact buyers, potentially driving a surge in activity before the deadline.
Legislative pressures on landlords and rising demand for rental properties continue to strain the private rented sector. Addressing these issues will require incentivising good landlords to maintain supply.
At Patel & Patel, we’re always on the lookout for innovative ways to grow our property portfolio and deliver value for our clients.
When it comes to property investment, one strategy that has consistently stood out for me is Title Splitting.