3
Sep
A RIDDLE WRAPPED IN A MYSTERY INSIDE AN ENIGMA
Paul Twyneham of Paul Twyneham & Company looks into the
puzzling state of the property market this autumn and finds that,
despite the conflicting signs, there is reason to be very
optimistic.
What exactly is happening to the property market at the moment?
In many parts of the UK August has been one of the most active on
record and this following a rather busy July. So, after the dark
and dreadful credit crunch months, what on earth is going on? After
all the ‘property experts’ seem to think that the
market could take years to pick up again.
This underlines the fact that nobody can really be a true expert
forecaster in property. We can expertly deal with the market we are
in and skilfully help buyers and sellers to make the best of the
prevailing conditions. But to try and out-guess the property market
is an entirely different proposition.
So if we aren’t going to be foolish enough to try to
foretell the future, at least we can try to understand the present.
What the gurus couldn’t factor in was the behaviour of the
British house buyer and seller. Neither group is silly. Homeowners
understand that there is a strong chance the market has hit the
bottom and now the only way is up. So the longer they wait, the
more they may get for their property. Buyers, on the other hand,
are keen to buy now as they anticipate this is the perfect time to
purchase. Indeed, latest figures show that residential property is
now at its most affordable for thirteen years.
The recent property activity is a riddle and the mystery of
where things will go next does lie within the enigma that is the
market. But one thing we do know: those astute buyers and sellers
do understand a thing or two about supply and demand. Reluctant
sellers mean a dearth of property coming onto the market and that,
in turn, is stimulating a level of activity that is now causing
competition between many buyers. Hence the recent surge in property
activity. In some areas this means multiple offers and even rising
prices.
So, what a great position to be in. Don’t sell and you
will make money. Buy now and you will make money. It’s
win-win and that is a concept that should be no riddle, mystery or
enigma to anyone.