It is now some six months on from when I started to hear and note some tentative signals, that housing market activity and sold property values in 2024 could become more positive. The combined impact of the Covid hangover, energy-price led inflation and the increased cost of mortgage debt from autumn 2022 for many has cast a long shadow which is thankfully now receding.
Contrary to the negative forecasts of some analysts, the UK economy seems to be doing better than expected and with inflation (RPI) now set to recede below the Bank of England target of 2% in the next month or so, the first of a possible series of base rate reductions could follow, possibly from May or June.
And with many people seeing their monthly incomes increase due to wage rises which are above inflation, alongside the recently announced national insurance cuts, it’s not hard to believe that by early autumn we could be into pre-election feel-good phase for both the economy and the housing market.
Despite the ongoing talk of there being a ‘buyers market’ in many locations, I still hear comments that it’s still quite hard to find investment deals that stack up. Sellers expectations have gradually been more realistically reset in the last year but in any phase of the housing market cycle it’s only those who are motivated who will consider a heavily discounted offer. Genuine deals nowadays do not fall off trees; they have to be created, mainly by adding value and often through a more creative acquisition approach.
Turning to the content inside this edition, our lead article on page 14 looks at the impact of the recent announcements on the short / holiday lets sector following the recent Budget. As with any government intervention in the market, those who can see ahead will see real opportunities, particularly if they take a professional approach to what for some has been a sideline venture.
Adopting a more professional investing approach would appear to be exactly what this month’s investor interview on page 18 portrays as we talked with Magdalena Kaszkun about her first steps into property investing.
This month’s article on the property auction scene is from our regular contributors Jay Howard and Piotr Rusinek who on page 42 give some very useful insights for those who are considering selling at auction.
Within a week we will be exhibiting once again at the Property Investor Show on the 19-20th April, at London’s Excel venue and then it’s onwards into May to the Midlands for the Property Developer Show and for the Landlord Investment Show. I hope you find time to say hello .
