Nationally, the average length of time it takes from agreeing the sale of a property to the keys being handed over is 111 days (down from 117 days last year), yet in Walsall, we are above the national average at 120 days.
So why does it take just over 17 weeks, when all that is required is the lawyers to look at some paperwork and get a mortgage? Also, what can Walsall homebuyers and sellers do to speed this up?
The legal process to buy and sell a UK property is called conveyancing. The conveyancing system itself hasn’t really changed in hundreds of years. When the housing market was reopened after the first lockdown in the spring of 2020, the property market returned with a bang, helped on with the stamp duty holiday.
In 2021, the number of properties selling in Walsall in some months went up massively, e.g., by 65% in March 2021 and by 96% in June 2021. Many conveyancers and solicitors had to sort the legal paperwork out for upwards of 70 to 90 properties each at any one time.
Did you know 23,826 Walsall homeowners are considering selling their Walsall home between now and the summer of 2023?
Reports in the press suggest 1 in 5 homeowners are considering moving home in the next 18 months.
This will change the dynamics of selling your home in Walsall, meaning there are certain matters that you, as a Walsall homeowner, should do before placing your property on the market to ensure you get the best price, reduce the hassle and even more importantly, when you do sell, ensure the move actually takes place. Why is this important?
A whopping 1 in 3 (7,942) Walsall house sales fall through between sale agreed and the keys being handed over!
Also, nationally, the average length of time a property is taking from sale agreed to key hand-over is 19 weeks ... and the longer the sale takes, the greater the propensity for the sale to fall through.
More good news for Walsall landlords. Added to the market at the beginning of this month is this two bedroom semi detached house marketed at offers over £170k by Dixons (01902 596801) & Connells (01922 312536). What I would say here, is that having multiple agents marketing a property is good news for the investor landlord. This may be a sign of desperation from the vendor, but it also confuses any potential buyer. So there is some mileage in negotiation on the selling price.
Another perfect spec ready for a quick let.
The past 15-17 months has been an interesting time in the Walsall property market without question. I can only speak for myself but many of my fellow professionals, clients and associates will attest to the feeling of being on a rollercoaster ride.
With 213,120 UK house buyers and 58,580 UK tenants moving home in September, the time has been manic for many people. This means that some Walsall homeowners are asking if they should be staying put? Or, should they wait for the best home to come onto the market before putting their home up for sale or find a buyer but be unable to find a property – it’s all rather confusing.
Then we have some Walsall landlords who are asking themselves if they should buy another property investment and some even wondering if they should sell and cash in on the boom.
Finally, with 95% mortgages back, first-time buyers are asking if they should look to take the plunge and buy their first home or wait.
In this article, I hope I can help you with the decisions you might want to make and to navigate this unusual post lockdown housing market. Let me start with some stats to show you what is happening at the moment in Walsall.
Walsall house prices rose by 2.7% last month, according to the Land Registry. This means the annual rate of house price growth in Walsall has increased from 3.9% last year to 19.8% this year. That is a whopping increase of 15.9%!!
Looking at the national figures, many people were concerned the UK property market was overheating as spring saw annual growth of 9.9%, the highest rate of house price growth documented since June 2007 when national house prices were rising by 10.8% p.a.
It was only a matter of a few months later the Credit Crunch hit, and the average value of a UK home plummeted from £190,032 to £154,452 in 18 months, a drop of 18.7%.
Government economic measures such as the Furlough Scheme and the Stamp Duty Holiday have so far shielded the Walsall property market from the worst economic recession since 1709.
So, the question is, can this growth in Walsall house prices continue, or is this the start of a house price crash?