News

Market Update
The post-election boost that so many expected has not materialised, in fact there has been a falloff in calls to agents Nationwide, not an uplift.
In England calls were down 1.8%, Wales 3.4% and Scotland 5.3%.
Rightmove report the property draught has worsened with a sharp drop in new sellers, down 10.6% on a year ago. They also report properties new to the market asking prices are up 0.1%. The hottest demand is from for small 2 bed semis, the traditional first time buyers (FTB) and buy to let investors (BTL). Most of these are being snapped up buy property investors, many of them new to the game as a result of pension legislation changes. (Call if interested in the changes)
This will cause a tilt in the market, the fact that new pension investors take a much longer view than the traditional BTL investor or FTB. Thought to be in the area of 20 to 25 years in retirement. That is a long time for these traditional FTB properties to be off the market.
In spite of this we are still selling, with three gone under offer this week and an increase in viewings. We note purchasers at the higher end are offering well below the asking price and many developers are stopped building the larger properties concentrating on the smaller 2 bed semi.
Just where all this is taking us remains to be seen. West Texas oil has dropped to below 50 dollars a barrel, gold is at a 5 year low and commodities are at their lowest for 13 years. The World has not recovered from the recession.
Bill Reid BEM BA NAEA DipPFS
Reid Estates
01738237337/