The Lancaster Property Market continues to disregard the end of the world prophecies of a post Brexit fallout with a return to business as usual after the summer break.
The challenge every Lancaster property buyer has faced over the last few years is a lack of choice – there simply hasn’t been much to choose from when buying (be it for investment or owner occupation). Levels are still well down on what would be considered healthy levels from earlier in this decade, as there is still a substantial demand/supply imbalance. Until we start to see consistent and steady increases in properties coming on to the market in Lancaster, the market is likely to see upward pressure on property values continue.
However, there may be hope for first time buyers, with homeowners looking to move upmarket and buy to let landlords looking for their next investment, the Lancaster property supply crisis just might be starting to ease, as the number of new properties coming onto the market in Lancaster has increased.
For example, in the last month or so, the average number of properties coming onto the market in LA1 has been 133, not bad when you consider for some months last year it was in the low 90’s. With the average Lancaster property value hitting a record high, reaching almost £189,500 according to my research, this shortage of properties on the market over the last two years has contributed to this ‘fuller’ average property figure, but there is a glimmer of hope that the Lancaster’s supply crisis may be starting to ease.
As I write this article, 4.63% of Lancaster properties are up for sale. In terms of actual chimney pots, that equates to 775 properties on the market in Lancaster (within 2 miles of the centre of Lancaster) – which, when compared to only a year ago when that figure stood at 566, is a serious increase in the number of properties available to buy. Split down into the type of property, it makes even more fascinating reading…
* Detached Properties in Lancaster – 96 on the market a year ago compared to 137 on the market now – an increase of 43%
* Semi Detached Properties in Lancaster – 147 on the market a year ago compared to 162 on the market now – an increase of 10%
* Terraced Properties in Lancaster – 145 on the market a year ago compared to 223 on the market now – an increase of 54%
* Flats / Apartments Properties in Lancaster – 115 on the market a year ago compared to 133 on the market now – an increase of 16%
With realistically priced properties flying off the shelves and this increase in new properties (especially terraces), this is evidence of strength in the Lancaster housing market that many didn’t expect. Many believed that the Lancaster property market wasn’t going to be strong enough post Brexit – as what was a sellers’ market before the Brexit vote and Buyers’ market in the early months after it, may now be somewhere in between and the market might just be coming back into balance.
However, all this will mean property values won’t continue to grow at the same extent they have been over the last 12 to 18 months, and in some months (especially on the run up to Christmas and early in the New Year), values might dip slightly. This won’t be down to Brexit but a re-balancing of the Lancaster Property Market – which is good news for everyone.
For more thoughts on the Lancaster Property Market, please visit www.lancasterpropertyblog.co.uk or call me in my JDG Lancaster Office on 01524 843322.