Here are the top ten postcodes predicted to see price rises and falls in the run up to Brexit and beyond. Sharon Dale reports.
PropCast, the house selling weather forecast, has analysed the performance of 61,435 property sales across Yorkshire and Humber’s 51 postcode districts to identify which are the strongest and weakest property markets.
It reveals that 67 per cent of Yorkshire and Humber’s postcode districts are showing resilience despite political and economic uncertainty brought on by Brexit.
According to PropCast calculations, just over two thirds of the region will see house prices rise in the next few months.
This predicted increase in values is being driven by various factors, including increased buyer activity, limited availability of good quality stock, affordability and high levels of employment.
PropCast founder Gavin Bragz says this should bring confidence to homeowners who are unsure about whether to put their home on the market.
Meanwhile, the postcode districts predicted to see prices falls open up opportunities for first-time buyers and investors.
PropCast has compiled the top ten Yorkshire areas likely to see price falls and price rises and it includes some surprising results.
It puts BD8, which includes Manningham, Girlington and Crossley Hall in Bradford, in the number one spot for house price rises.
The area most likely to see property values fall is the desirable Dales postcode BD24, which includes Settle, Horton-in-Ribblesdale and Giggleswick.
The online tool measures prices, along with buyer demand levels relative to the available stock of properties.
“This is a primary driver of house prices rising or falling. There is a strong correlation in weak markets between a decline in buyer demand leading to a fall in house prices and for rises in buyer demand to lead to house price increases,” says Gavin.
He adds that while Giggleswick is an area with more cache than BD8, PropCast does not report on which is the best area. It shows where buyers are most willing to pay the prices that sellers are asking.
“In BD8, buyers are increasingly keen to pay the asking price. The opposite appears to be happening in Giggleswick and so the prediction is that this decrease in demand will be followed by a fall in prices.
“It mirrors what is happening in London. Chelsea is a far nicer neighbourhood than Peckham but yet prices are falling in Chelsea and rising in Peckham.”
PropCast say the level of the price rises and falls is “anyone’s guess” and it can only highlight the direction of travel.
*The top ten areas most likely to see price rises are: BD8 (Manningham, Girlington, Crossley Hill); DN12 (Conisbrough, Denaby Main, Edlington); LS5 (Kirkstall, Horsforth); LS2 (Leeds city centre, Woodhouse); WF16 (Heckmondwike); S4 (Grimesthorpe, Pitsmoor in Sheffield); LS4 (Burley, Kirkstall); BD6 (Buttershaw, Wibey, Odsal); S64 (Mexborough, Swinton, Kilnhurst, Adwick-upon-Dearne); S7 (Nether Edge, Abbeydale, Millhouses, Carter Knowle)
*The top ten areas most likely to see price falls are: BD24 (Giggleswick, Horton-in-Ribblesdale, Settle); DN40 (North and South Killingholme, Habrough, Immingham, East Halton); DN39 (Croxton, Kirmington, Ulceby, Wooton); DN19, Barrow-upon-Humber, Goxhill, New Holland); DN37 (Ashby-cum-Fenby, Barnoldby-le-Beck, Beelsby); DL11 (Reeth, Grinton, Muker, Keld); BD1 (Bradford city centre); DN33 (Nunsthorpe in Grimsby); DL6 (Northallerton east and Ingleby Cross); DN31 (Grimsby, Cleethorpes)
“Although the majority of Yorkshire and Humber retains the upper hand despite Brexit uncertainty, sellers still need to position their asking price competitively against other similar properties for sale if they want to attract offers,” says Gavin Bragz.
“With recent political upheaval, it’s even more vital to really ensure your estate agent is implementing the best selling strategy as buyer confidence could well be dented after the Brexit deadline on October 31. Meanwhile, buyers on the fence should get their offers in as soon as possible as there are also some great mortgage deals to be had at the moment.
“For those in areas expected to see prices fall, there are numerous factors that can lead to drops, which are usually symptomatic of each other.
“When buyer demand in a particular area consistently falls or houses are left on the market for too long usually because of the decrease in demand, homeowners will often be advised to lower their price or their expectations in order to make a sale. The best way for sellers to strengthen their position in a falling market is to price conservatively from the start and choose a local, trusted estate agent who truly knows the market and how best to position your home within it for a fast sale.”
*The PropCast tool can be found on TheAdvisory at www.theadvisory.co.uk