Yeovil Property Market – Asking Prices Up 1.2% in the Last 12 Months
The average asking price of property in Yeovil increased by 1.2% or £2,754 compared to a year ago, with particularly good demand from landlords and home-movers in the first few months of the year. This takes the current average asking price to £239,800, compared with £237,046 this time last year.
The rise in asking prices is being aggravated by buyers jumping into action looking to benefit from potential stamp duty savings (especially first-time buyers) or beat impending mortgage interest rate rises later in 2018. Of the numerous Yeovil buyers starting their property hunting in the usually active spring market this year, many face paying even more than ever for the property of their dreams, although as I mentioned a few weeks ago, there are more properties for sale in Yeovil compared to 24 months ago.
Looking at the different sectors of the Yeovil property market, splitting it down into property types, one can see what is happening to each sector of the market with regard to their average asking prices now compared to a year ago. Firstly, looking at the Pound note amounts …
Interestingly, when one looks at the percentages, the most upward average asking price pressure is in the detached and apartment property type sectors.
Now, I must stress this growth in the asking prices of Yeovil property doesn’t mean the value of Yeovil property is going up by the same amount … nothing could be further from the truth. Only time will tell if the current levels of Yeovil asking prices is a catch-up abnormality after a couple of months of restrained asking price rises in the first few months of 2018, or is it an initial sign that we are in for a better 2018 Yeovil Property market than all of us were expecting at the start of the year?
I believe these asking prices must be viewed with a pinch of salt, as it will be fascinating to see whether Yeovil properties actually sell at these higher asking prices. Just because house sellers (be they owner-occupiers or landlords liquidating their assets) are asking for more money it doesn’t mean buyers will be enthusiastic to part with their hard-earnedcash. Like my Mum and Dad used to say to me all those years ago, “You can ask … but you might not get”.
Also, Yeovil homeowners and landlords wanting to sell their property need to be aware of progressively strained buyer mortgage affordability and the more those sellers increase asking prices, the more buyers will hit their maximum on the amount they are able to borrow on a mortgage.
However, those Yeovil buyers who need a mortgage (be they owner-occupier or landlord), will paradoxically benefit from lower mortgage payments before interest rates rise … maybe another reason for the uplift in the number first time buyers and landlords buying? Only time will tell!