20% More Rutland Homeowners wanting to move than 12m ago

With not enough new-build properties being built locally to keep up with demand for homes to live in (be that tenants or homebuyers), it’s good to know more Rutland home sellers are putting their properties on to the market than a year ago. 

At the start of 2007 there were 110 properties for sale in Rutland but by March 2008, when the credit crunch was really beginning to bite, that number had risen to 238 properties on the market at a time when demand was at an all-time low, thus creating an imbalance.

Basic economics dictates that if there is too much supply of something and demand is poor (which it was in the Credit Crunch years of 2008/9) prices will drop. In fact, Rutland house prices did drop in the region of 15% and 20% depending on the type of property during that period.

However, over the last 5 years, we have seen a steady decrease in supply of properties coming onto the market for sale and steady demand, meaning Rutland property prices have remained robust. A stable housing market is one of the foundations of a successful British economy, as it’s all about getting the healthy balance of buyer demand with a good supply of properties. Nevertheless, if you had asked me a couple of years ago, I would have said we were beginning to see there was in fact NOT enough properties coming on to the market for sale, meaning in certain sectors of the Rutland property market, house prices were overheating because of this lack of supply. 

So, looking at the recent numbers, it is pleasing to note there are 20% more properties for sale in Rutland today than a year ago.  There were 89 properties for sale 12 months ago, and today that stands at 107. Definitely a step in the right direction to a more stable property market.

Even better news, since the Chancellor announced the stamp duty rule changes for first time buyers (FTB), my fellow agents in Rutland say that the number of FTB’s registering on the majority of agent’s books has increased year on year. That has still to follow through into more FTB’s buying their first home, however, with the heightened levels of confidence being demonstrated by both Rutland house sellers and potential house buyers, I do foresee the Rutland property market will show steady yet sustained improvement during the first half of 2018.

What does this mean for Rutland landlords or those considering dipping their toe into the buy-to-let market for the first time?

Landlords will need to keep improving their properties to ensure they get the best tenants. It is true that demand amongst FTB’s is increasing, albeit from a low base. Even with the new landlord tax rules, buy-to-let in Rutland still looks a good investment, providing Rutland landlords with a good income at a time of low interest rates and a rollercoaster stock market.

I keep an eye on the local property market on a daily basis because it enables me to give the best advice and opinion on what (or not) to buy in the area, be that a buy-to-let property for a landlord or an owner occupier.  If you would like to chat to me about a property you have seen, and would like my advice, please drop me a line.

David Crooke
MD & Owner
david@upp-property.co.uk / 01572 725 825