Experts reveal their Yorkshire property market predictions for 2020

What does 2020 hold for the Yorkshire property market? We asked 15 experts to give us their forecast.

Andrew Wells of Allsop, Leeds: It has been a patchy year for the Yorkshire housing market with very low transaction volumes but a very buoyant rental market. I expect the sales market to unfreeze in 2020 as greater confidence and political certainty returns to the market.Sellers who have been holding off will give it a go in the early spring and this new supply should be mopped up by willing buyers, provided pricing is not excessively aspirational.The Conservatives have always pushed home ownership and it is hoped there may be some positive changes to stamp duty in the first budget of the new government.Buy-to-let investors haven’t been well served in the last couple of years and it is only the strength of rental demand that has kept many in the market. Reforms to mortgage interest tax relief are biting and plans to remove the landlord’s ability to gain possession of a home without tenant fault may deter more casual buy-to let investors and those with small portfolios.It is difficult to look beyond Leeds as a potential hotspot for 2020. The city has many positive economic drivers. If the supply tap is turned on it could be a really good year.

Simon Blyth, Simon Blyth estate agents: There is a pent-up demand from those wanting to move up and down the property ladder.People have been waiting for the next stage of Brexit but now the government has a clear mandate, there is a feeling we can move forward and end the period of paralysis.The tap has been turned on and we have already seen evidence of more activity.As for prices, I think they will remain stable as supply rises. A period of stability is what the market needs.All the areas we cover will remain popular due to easy access to the M1 and M62 but Sheffield has become very desirable and our offices there are very busy.

Andrew Beadnall, Beadnall Copley estate agents: On the day after the election shares in housebuilder Taylor Wimpey gained almost 15 per cent, a clear sign of confidence returning to the property market.The housing market thrives on one word “certainty” and after three- and-a-half long years we finally have clarity.Buy-to-let owners will also be breathing a sigh of relief as, despite the government’s crackdown on landlords, the Conservatives are seen as “the lesser of two evils for property investors”, according to the National Landlords Association. 2019 saw no shortage of demand from buyers wanting to move, especially in the mid to high range market. However, many have not been in a position to, due to their own properties struggling to sell.This restoration of confidence in the market will see an increase in the supply of good quality homes for sale.Everything starts from the bottom and first-time buyers may have it easier than for the past 10 years as interest rates and a relaxation in lending criteria will improve affordability. We do not expect real change in house prices, either negative or positive.

Tim Waring, Head of Residential, Lister Haigh: So will the housing market see a “Boris Bounce” in 2020? Many hope so and the confidence shown in many sectors since the election suggest it will happen.There are positive signs already and I negotiated a substantial sale just before Christmas as a direct result of the Conservative win, with the buyers openly saying they would not have agreed to buy had it been a split vote or Labour win.Other agents are reporting similar transactions. So my prediction for 2020 is much greater activity for the Yorkshire residential property market but I do not envisage any noticeable bounce in prices, at least in the first half of the year, although there will inevitably be exceptions due to supply and demand, especially in key commuter locations where there has been a shortage of homes for sale.

Tim Gower, of Robin Jessop estate agents, Leyburn: There is a great degree of optimism in the Dales after a year of caution by sellers and buyers.As a result, this has impacted on the market during the last three months of 2019 with properties going under offer at or above guide price. I see this continuing well into 2020 until supply and demand reaches equilibrium again.There has been a definite shift in the market with several recent sales to buyers relocating from other parts of the UK or returning to their roots as they reach retirement age. We have also sold to international buyers looking for either a second home or holiday let, such is the attraction of the Yorkshire Dales and surrounding area.

Mark Manning, MD Manning Stainton and Fine & Country, Leeds: The market through 2019 has been overshadowed by political and economic uncertainty but we still saw a robust attitude from buyers buoyed by attractive mortgage deals.We celebrate the improving fortunes of first-time buyers who continue to return to the market in good numbers, up two per cent on last year. This is in marked contrast to the number of new sellers. This supply and demand imbalance has helped prices increase across our area by 4.5 per cent in 2019.Looking ahead, we expect the housing market to jump into life this year, perhaps aided by a budget delivering reforms on Stamp Duty. We expect to see price rises in our area of around five per cent in 2020.

Edward Hartshorne, MD of Blenkin and Co.:This has been our busiest year of trading in nearly 30 years. Looking ahead to 2020 all the early indicators suggest that this will continue.I am now advising all of my clients who have been paralysed into inaction to place their properties on the market. For sellers in particular, 2020 has all the components of a strong year.The affluent market towns of North Yorkshire and the East Riding will continue to attract buyers, their many amenities attracting cash-rich downsizers and empty nesters who are failing to find appropriate stock in York. I also foresee a gentle rise in the number of family buyers rom London and the South-East returning North.Canny property investors/developers are upgrading and restoring period properties to the luxurious standards expected by these high net worth buyers. Certainly the weak pound is making property look relatively cheap to those from overseas. This trend is widely acknowledged in London but we are now seeing signs of uptake in York and Ryedale.

Patrick McCutcheon, Head of Residential, Dacre, Son and Hartley: Throughout the last 12 months I have sensed an incredible feeling of frustration among buyers who simply haven’t felt the time was right during a seemingly endless period of political uncertainty. Without question there is significant pent up demand and my view, providing clear direction continues in respect of Brexit at the end of January, is that demand will now make itself felt through actual acquisitions; and those purchases will also release a fresh wave of property in to the marketplace.Within the upper sectors I believe there will be renewed activity as a reflection of the removal of the threat of a punitive tax regime, although it is equally fair to say that Stamp Duty Land Tax remains a concern and ideally needs review.In terms of prices, we could realistically see growth of five to seven per cent in 2020, although this will very much depend on how Brexit pans out.

Jonathan Morgan, Linley and Simpson with Morgans, Leeds city centre: The early impact of the general election result on investor sentiment may already be evident.Whilst the property market is sensitive to political uncertainty or hiatus, this is particularly the case in the city centre, where larger amounts of capital are required to mobilise apartment schemes.This challenge has stifled the residential market in Leeds City Centre for over 10 years, which has meant almost no new housing has been delivered since 2007.All that is about to change as a new and far more patient form of capital comes to the fore in the shape of institutional funding for a wave of purpose-built rental schemes.Investment funds are pouring money into large city centre schemes and next year will see the first of these hit the ground at Leodis Square, Yorkshire Square and Mustard Wharf.These will be followed by the Guinness Trust’s mammoth scheme of over 1,000 apartments for rent on Hunslet Road and SOYO by Moda. Over the next five years, we expect around 4,500-5,000 such apartments to be delivered.Whilst this is great news for average and above average earners, we need to be conscious of the need to house the significant key worker population which is central to the economic prosperity of the city.”

Justin Dugdale, Yorkshire’s Finest, Huddersfield: We are entering uncharted waters with our modern economy as we face being out of the European Community. However, the credentials of the property market are very strong, with continued and steady annual house price inflation and remarkably low interest rates looking likely to continue. Yorkshire is an economic powerhouse and I therefore expect our house prices to increase in the region of five per cent over the next year.

Ben Pridden, Savills York: York’s residential property market remains robust, driven by excellent transport connections and education facilities. It is also attracting buyers from outside the area, including those from London and overseas.Whilst house prices have risen, transactional activity has dropped, mainly due to fewer properties being advertised for sale as potential sellers waited for political certainty.The general election result is likely to stimulate supply. Looking ahead, the best performing properties will be those in a good condition and priced appropriately. This is especially relevant at the top end of the market.

James Spencer, Carter Jonas, Harrogate: We are confident that the market will bounce back early in 2020 with an increase in transactions. Now that a majority government has been formed, the financial markets and the pound have already rallied. We would therefore expect the housing market to follow suit.In Yorkshire, we envisage prices to remain stable and there is potential scope for growth in sought-after areas.New homes bucked the trend in the latter part of 2019 and will continue to be in high demand. Town centre living will continue to appeal to many sectors of the market due to its convenience.In conclusion, we would hope to see a much improved property market in 2020.

Glynis Frew, CEO of Hunters: I think the future looks bright. It’s quite telling that transaction levels haven’t really experienced the steep decline that price fluctuations would suggest and that’s perhaps because no amount of politics will stop the UK’s faith in bricks and mortar.Jobs, families, ambition are just a couple of factors that ensure people will always want to move so I’d expect activity to keep steady on the sales and lettings front.Yorkshire is now firmly on the map, especially places like Leeds and York, and investment from all over the globe will continue here.Those two cities are likely to be at the top end of rental growth, which I’d expect to see ranging from two to four per cent.When it comes to house prices I’d say we are looking at a rise of one to two per cent this year.North Yorkshire and the Golden Triangle will continue to carry a premium, while South Yorkshire will lead the way as emerging markets offering a bargain for those looking outside major cities.

Nicola Spencer, Spencers estate agents, Sheffield: Sheffield has always had a strong property market, influenced mainly by low supply and high demand; we still draw many big businesses to the city, as well as having an excellent retention of students who stay on after their studies.It’s undeniable that this is a city that people fall in love with, and those that love to hate it would never leave it either, despite us looking on at Leeds and Manchester as our more prosperous neighbours.Since the general election result, strength and stability has a chance to continue. We see no reason why our city can’t continue to flourish.We believe that prices in Sheffield could rise by up to three or four per cent in 2020, in the more sought-after locations.

Richard Welpton, of Quick and Clarke estate agents: I feel very confident about the property market in East Yorkshire for 2020. The fundamentals remain strong with low interest rates, good mortgage availability and continuous demand.I believe that sellers will be back in the market in spring and that there will be very modest increases in prices in the more sought-after areas.Other areas will see greater stability in house prices. These are the places where we have reached the peak of affordability until household incomes catch up.Beverley remains the most desirable location to live in East Yorkshire. However, Hull has seen a renaissance within its centre and looks set to continue its evolution into a trendy place to work and live.Driffield is also seeing a resurgence and relatively competitive prices and plans for better amenities are driving this market.