A question we are asked regularly is what does the future hold for property prices? Are they expected to drop or will they continue to grow?
It’s a question that is on everyone’s lips. And when it comes to predicting the future, we look closely at the economist’s forecast and what is planned locally in our own area.
We all know that Morecambe’s future is heavily relying on an announcement of the Eden Project North and the positive effect that will have on the wider economy. Lancaster has strong foundations with its universities, hospitals and is also heavily involved in the digital and tech spaces. It is also well connected with its great transport links. We also have excellent schools, some of the best in the country. Both the town and the city are well-positioned for the future.
2021 saw strong growth – economically and with property prices. For many, it also saw an increase in earnings. For 2022, forecasts for property price growth across the UK and locally are positive.
The forecasts above, produced by the Office for Budget Responsibility in the wake of the Chancellor’s Autumn Budget in October, indicate that while property price growth looks set to moderate over the coming years, prices are not expected to fall. This will be a great relief for many.
The housing market proved to be one of the bright stars during the initial Covid-19 pandemic, bolstered by the significant government economic support packages and the stamp duty holiday.
The impact of the Omicron variant is yet to play out, but more limited government support and a rise in the cost of living may well squeeze household budgets more tightly than expected in 2022. We can though feel confident that both Lancaster and Morecambe will continue to be popular with buyers and that homeowners can feel confident that their property value is protected.
If you would like to chat about the local property market and how we can help you get moved in 2022, please get in touch. At JDG we are here to help.
Best wishes
Michelle
Source: Dataloft, Office for Budget Responsibility