STAND BY FOR A FRANTIC JANUARY

As we head into Christmas, we property professionals are already getting ready for one of the busiest Januarys in recent years – because a combination of three factors have come together to ensure that the first weeks of 2025 will prove to be something of a whirlwind, writes Natasha Wright.

The first of these is news from Nationwide this week that house prices actually rose in November, with an annual growth rate of 3.7%, the fastest increase for two years.  The UK’s largest mortgage lender’s findings were backed up by the Office for National Statistics, which measured a nearly 3% increase in prices for the year to September.  There is clearly confidence in the market.

The second factor which is sure to lead to an increase in activity in the new year is the announcement in the Budget that stamp duty thresholds are to change.  The current £250,000 nil rate band is being halved from next April, and the current £425,000 exemption for first-time buyers is being reduced to £300,000.

This is likely to mean that those looking to move in 2025 are going to want to do so before the stamp duty changes take effect, and realistically that means finding somewhere early in January if they want to complete by the end of March.

So does this mean that the traditional ‘Boxing Day bounce’ in the property market is going to be a big thing this year?  Not according to Rightmove, which makes the third in our trio of reasons why New Year is likely to be the peak for activity.

Property portals such as Rightmove do indeed report a surge in visits on 26^th December, but let’s remember that quantity and quality are not the same thing.  Yes, thousands of people may casually log on to browse the homes for sale while they munch on yet another mince pie.  But in their distracted, sherry-induced torpor, are they really paying attention?

Rightmove’s research shows that the serious potential buyers are more likely to wait until the new year to start their search, doing so in the more sober month of January.  So it might be worth waiting until (very early) new year to come to market.  Those many Boxing Day properties will have slipped down the Rightmove listings, to be replaced by the newly-launched ones ready for those serious buyers.

This is the time when those who want to beat the stamp duty deadline will really get down to searching for their next home.  And that means it is the time when those looking to sell their home want to be offering a box-fresh listing right which will grab attention.