We are all aware that we are currently experiencing a downturn – we see it manifesting itself in our energy bills and supermarket till, together with our increasing mortgage payments. The national press seems almost obsessive in talking down our economic situation. But what does it really mean for Prime Property in the West Country?
In this corner of England, we know we live somewhere really rather special and sometimes the national statistics don’t align to what is occurring on the ground. Researchers are telling us that property prices could be down up to 10% in 2023. So, will that happen in this area? We know that the reasons people come to live and holiday here are multitudinous: it’s about a different and higher quality of life – walkers, sailors, cyclists – all lovers of the outdoors are attracted by our stunning scenery and space. We have most certainly experienced explosive demand post-Covid, particularly in Prime Market, with strong price growth particularly through 2020/2021 and then further growth in early 2022. Then the latter half of this year has seen slowing growth in comparison to a year earlier.
There is still strong demand at the top of the market
However, there is still strong demand at the top end of the market. Luscombe Maye, with its 150 years of history and integrity, operates throughout the South Hams – one of the most sought-after areas of Devon and the West Country.
“With our heritage of providing professional advice to those in the countryside and along the coast, we have our ears to the ground and most definitely have plenty of buyers who are still waiting for the right property to come to the market.”
Undoubtedly the gloomy economic news will dampen some buyers’ sentiment and we may well see some of the price gains of the past couple of years diminish over the next twelve months. But we are extremely fortunate that many of our potential buyers do not require a mortgage and therefore are less affected by the current economic pressures. Many of our applicants have been sitting patiently, waiting (some for several years) for the ‘right’ property to appear. And when it does, they will pounce as quickly as possible, knowing that the competition will be fierce, and they may have to pay a premium to secure it.
So, although we may well continue to experience lower stock levels in 2023, good quality property will always be in demand and command a high price. There is just not enough to go round in this stunningly beautiful area. If, as agents, we can offer our buyers the right property (given that nothing is perfect and there is always an element of compromise), then now is a good time to purchase. It is always a good time to buy in the West Country.
