How will 2024 compare with 2025
Many factors can affect the intricate web that makes up the UK housing market, some more than others, and 2024 saw some of the biggest. The continuing wars in Ukraine and Gaza, in addition to what is being referred to as the Super Election Year, have conspired to make 2024 a year of duality and adjustment.
A change in our domestic government, followed not long after by the Budget in October, caused a great many people to adopt a ‘wait and see’ stance with regards to buying and selling property. Having said that, with interest rates remaining largely stable throughout the year, plateauing at a base rate of 5.25% and finishing the year at 4.75%, the Halifax reports transactional volumes having returned to pre-pandemic levels, after beginning 2024 at around 20% lower.
In the early part of the year, national house prices continued a downward trend which had begun in 2023 as demand declined and buyers reeled from soaring covid-era prices, yet the latter half of 2024 saw a resurgence, ending in year-on-year growth of around 3.4%*.
The South West has enjoyed many of the benefits of the wider national picture but, as is our wont, we bucked a number of trends in our corner of the country in 2024, perhaps the most significant being that the average price of a property has dropped in this region by 2.3% year-on-year*. The unique local dynamics of the area have a huge influence on housing market performance, and this adjustment is no doubt at least partially in response to the disproportionate surge in prices we experienced during the Covid boom and therefore should be seen as more of a correction than a true loss.
The South Hams have always been a hot spot offering long-term appeal, particularly for those seeking a change in lifestyle in a beautiful, tranquil setting, and throughout 2024 Luscombe Maye proved, yet again, that we are the agent of choice, successfully selling all types of properties in village, town and country locations.
Stuart Hext, Senior Director of Luscombe Maye commented, “all else remaining equal we anticipate that 2025 will see a period of further adjustment and with that should come the political and economic stability that a thriving housing market craves”.
The forthcoming changes in Stamp Duty Land Tax thresholds may cause some disruption, with a rush to complete prior to the deadline of 31st March and corresponding lull immediately following but, having successfully weathered other recent SDLT adjustments, Luscombe Maye are well versed in handling these matters. In addition, if rates are eased later in the year as anticipated, affordability will improve, particularly for first-time buyers, freeing up the rest of the market to follow suit.
The number of sales achieved in 2024 by Luscombe Maye exceeded 2023 and with good levels of enquiries from buyers and sellers experienced already this year there is a sense of the market returning to some normality (whatever that may be !).
Some of the more notable sales achieved by Luscombe Maye in 2024 include Spring Combe at South Pool selling off a guide price of £1,750,000, The Tithe Barn and Part Crapstone Barton near Tavistock with a guide price of £2,000,000, Elm Vale Lodge at Kingswear selling off a guide of £1,250,000, Lower Idston near Kingsbridge with a guide price of £1,350,000 and Higher Turtley near South Brent with a guide price of £1,100,000 (all pictured here –).
- Spring Coombe, South Pool
- The Tithe Barn and Part Crapstone Barton near Tavistock
- Elm Vale Lodge at Kingswear
- Lower Idston near Kingsbridge
- Higher Turtley near South Brent
*Source: Dataloft, ONS, Land Registry
