Nationwide figures show property values continue to slide

Jason Ferrando, CEO of easyMoney says

“Much like the rest of us, the property market usually takes a little time to find its feet in January following a festive lull in activity. So a slightly more sluggish rate of house price growth is only to be expected.

While another monthly reduction in the rate of house price growth further adds to the narrative of doom and gloom that enveloped the market during the closing stages of 2022, the outlook for this year is already predominantly more positive.

The market as a whole seems to be marching on with a renewed spring in its step and while it may take time for this positivity to stimulate topline market statistics, we’re already seeing buyers and sellers acting with far greater intent.”

Director of Benham and Reeves, Marc von Grundherr, commented:

“The decline in house prices seen in recent months is more akin to the market tripping over its shoelace than falling off a cliff edge and we’ve simply not seen the catastrophic property market decline that was so widely predicted during the latter stages of last year.

Yes, buyers are treading with caution and sellers are having to adjust their price expectations in line with this changing market, but our appetite for homeownership remains strong and we continue to see activity despite wider economic turbulence.”

Managing Director of Barrows and Forrester, James Forrester, commented:

“Home sellers are continuing to secure a very good price in current market conditions and it’s important to remember that although house prices have started to cool, they remain there or thereabouts when compared to the meteoric highs of the pandemic market boom.

So not only is the current correction very much a return to market normality, it’s fair to say that this return is taking far longer than predicted as the market continues to defy wider expectations against what are otherwise strong economic headwinds.”

Managing Director of House Buyer Bureau, Chris Hodgkinson, commented:

“While the market remains fairly strong, we can expect the herd mentality of the nation’s homebuyers to continue to dampen house price growth.

During the pandemic boom, homebuyers were falling over themselves to offer above the odds to secure a home. This tide has very much turned and while there remains a robust level of market activity, we’re seeing a more reserved approach during the negotiation stage.

As a result, the nation’s sellers are meeting in the middle and accepting a slightly lower price for their home, but this is very much a market correction rather than a slippery slope of house price depreciation.”

CEO of Octane Capital, Jonathan Samuels, commented:

“The landscape is already considerably more settled when compared to the turmoil that followed last September’s mini budget and while buyers may still be contending with higher mortgage repayments, the cost of borrowing has started to stabilise.

This has allowed those who are in the market to reassess just what they can afford before pushing on in search of a property, instead of abandoning their plans altogether and so we can expect a slower, but more consistent property market performance going forward.”