I am told there are 280 buying agents in the London borough of Kensington and Chelsea alone. On some days, it feels that there are more buying agents than selling agents; which is indicative of the abundance of money over time in some parts of our market.
As half term runs into its second week, the effect of holiday’s this year has not been insignificant. This was particularly evident in April as Easter gave way to the Royal Wedding celebrations. When I moved out of London 12 years ago, the market has distinct seasons. Post 9/11 two changes have been an increase in holiday entitlements taken with a general lack of seasonality otherwise. The result had been a market that is more affected by the school holidays than it is the weather. This was borne out earlier this year when we were busier during the disruption of the snow in February than the usual watershed of Easter.
The last week in October is also the final week of the financial half year for many businesses. We are working hard to get our clients sales completed before the clocks go back. Monday is Halloween, a sixteenth century Scottish variant of All-Hallows-Even , the night before All Hallows Day. However, it is more typically linked to the Celtic festival of Samhain, (originally pronounced sow-an or sow-in) meaning "summer's end". Whilst the warmth is fading in the air as the sun no longer rises to its summer zenith, the magic of autumn is now in full flow. As the tree opposite my office turns burning shades of amber, in market terms it is not the weather that makes the difference rather that families are together over half term. The autumn brings fresh challenges in marketing campaigns; clients are asked to keep lawns free of leaves and photographers chase the sun, which like early season pheasants is reluctant to gain altitude.
The market has some really high quality buyers, ready, willing and able to make a Christmas move. Yet the choice is limited. As the countryside offers everything from field sports to long walks, Hampshire firesides are a special retreat from the rigors of the city. Despite European financial turmoil, interest rates are pegged at record low rates and the FTSE seems as resilient as ever. What better a time to buy or sell a Hampshire home? Demand is still high, supply is low and the countryside becomes even more magical as autumn gives way to winter. Hibernating wildlife cram for winter, yet I cannot help thinking we have not seen the best of this season and our harvest festival could turn into a winter of contentment.
Next Saturday is bonfire night. As fires and fireworks are enjoyed throughout the country in remembrance of the events of 5 November 1605, the cold becomes a welcome visitor. Whether bobbing for apples or enjoying all that a gunpowder plot of your own can bring, spare a thought because everything makes this time of year special is unaffected by headlines and a market that is frustrated.
We launched our new Carter Jonas iPhone app this week which is now available from the App Store for iPod Touch and Apple iPhone.
The last twelve hours have seen the app downloaded as far afield as China, the former Yugoslavia Republic of Macedonia, Slovakia and the United States. A recent review read; “Quick and easy to use - I like this app as it is straightforward, easy to use and I found it very quick too. Great descriptions and photos and easy link to the map for location too”
The Carter Jonas property app will allow you to search for the latest residential sales and lettings from Carter Jonas.
The functionality includes a shortlist property for later review, search for properties near you based on your GPS position, alternatively search for properties based on your desired town, county, city or postcode, email and telephone the branch directly from your iPhone, view photos and read about the key features of the property, find a Carter Jonas office near you, quickly search for new properties based on your previous search criteria and email your favourite properties to your friends and family.
Matthew Hallett
Partner
Head of Residential Sales, Winchester
A property blog written and authored by our specialist blogging team, discussing all and any matter relating to the residential, rural and commercial property markets.
Showing posts with label winchester. Show all posts
Showing posts with label winchester. Show all posts
Friday, 28 October 2011
Wednesday, 12 October 2011
The property market and other paradoxes…
September was a record month, both for temperatures and our Winchester business. Hampshire harvests were safely gathered in and although rivers were low, there were some lovely days sport to be had with good grilse runs and some large late season brownies.
October has been marked by England’s departure from the Rugby World Cup and some choice phrases from the Governor of the Bank of England; “It is unfamiliar – that’s because this is the most serious financial crisis we’ve seen, at least since the 1930s, if not ever. And we’re having to deal with very unusual circumstances but react calmly to this and to do the right thing.” Mervyn King’s words, whilst chilling are also apt for the Hampshire property market, where we are contending with very unusual circumstances indeed. The dearth of prime properties for sale is more extreme than usual, yet buyers are less willing to compromise. Whilst there are plenty of buyers looking for good country houses, there is currently less urgency to purchase and the negotiations are more complex than usual. When markets are faring well, buyers are more prepared to compromise, so if 7/10 of their boxes are ticked, they are more than likely to proceed. Currently, however, buyers do not want to consider any risk whilst the markets are uncertain and would much prefer for all ten boxes to be ticked, which can sometimes prove to be an unachievable aspiration. Buyers are reluctant to bid, in effect, against themselves and in many cases, would prefer to wait until there is competition to confirm the level of market value. All of this slows the process whilst the battle of wills is played out.
The oxymoron of a shortage of properties and buyers unwilling to compromise is alien to Hampshire and in stark contrast to conditions in London. The prime London market, which is dominated by international buyers, is moving much more quickly; there is a shortage of property coming onto the market so buyers know that they have to act quickly in order to compete. A mild autumn and a lively London market are the usual indicators of a busy October in Hampshire but sellers of prime property are in short supply. Negative market comment in the media appears to have become a self fulfilling prophesy; clients, like early season partridge are, it seems, understandably easily spooked. Perhaps the most frustrating paradox is the lack of property creates a lack of property; potential vendors are unwilling to enter the upheaval of a sale without a reasonable chance of a suitable alternative home to trade up or down to, thus there is a logjam.
I have just returned from my yearly pilgrimage to Scotland, in pursuit of the silver tourist; Salmo salar and whilst a wonderful week was had, as always, we were plagued by river water levels. Salmon get trapped in pools, waiting for a spate large enough to return upstream to their redds; the Hampshire market has similarities with buyers and sellers in a holding pattern, waiting for the flow of activity to return.
I am regularly updating buyers and their agents and hope that the current impasse in the country market can be resolved before the city Christmas bonuses are announced.
Matthew Hallett
Partner
Head of Residential Sales, Winchester
October has been marked by England’s departure from the Rugby World Cup and some choice phrases from the Governor of the Bank of England; “It is unfamiliar – that’s because this is the most serious financial crisis we’ve seen, at least since the 1930s, if not ever. And we’re having to deal with very unusual circumstances but react calmly to this and to do the right thing.” Mervyn King’s words, whilst chilling are also apt for the Hampshire property market, where we are contending with very unusual circumstances indeed. The dearth of prime properties for sale is more extreme than usual, yet buyers are less willing to compromise. Whilst there are plenty of buyers looking for good country houses, there is currently less urgency to purchase and the negotiations are more complex than usual. When markets are faring well, buyers are more prepared to compromise, so if 7/10 of their boxes are ticked, they are more than likely to proceed. Currently, however, buyers do not want to consider any risk whilst the markets are uncertain and would much prefer for all ten boxes to be ticked, which can sometimes prove to be an unachievable aspiration. Buyers are reluctant to bid, in effect, against themselves and in many cases, would prefer to wait until there is competition to confirm the level of market value. All of this slows the process whilst the battle of wills is played out.
The oxymoron of a shortage of properties and buyers unwilling to compromise is alien to Hampshire and in stark contrast to conditions in London. The prime London market, which is dominated by international buyers, is moving much more quickly; there is a shortage of property coming onto the market so buyers know that they have to act quickly in order to compete. A mild autumn and a lively London market are the usual indicators of a busy October in Hampshire but sellers of prime property are in short supply. Negative market comment in the media appears to have become a self fulfilling prophesy; clients, like early season partridge are, it seems, understandably easily spooked. Perhaps the most frustrating paradox is the lack of property creates a lack of property; potential vendors are unwilling to enter the upheaval of a sale without a reasonable chance of a suitable alternative home to trade up or down to, thus there is a logjam.
I have just returned from my yearly pilgrimage to Scotland, in pursuit of the silver tourist; Salmo salar and whilst a wonderful week was had, as always, we were plagued by river water levels. Salmon get trapped in pools, waiting for a spate large enough to return upstream to their redds; the Hampshire market has similarities with buyers and sellers in a holding pattern, waiting for the flow of activity to return.
I am regularly updating buyers and their agents and hope that the current impasse in the country market can be resolved before the city Christmas bonuses are announced.
Matthew Hallett
Partner
Head of Residential Sales, Winchester
Monday, 5 September 2011
September beginnings
September is an exciting month. Families wring every drop out of the holidays, returning to schools and workplaces with tans still fresh from a mad drive up from some foreign port, the day before term starts. Children commence new academic years with the mixed emotions of catching up with missed friends and the fresh challenges of being another year older and just that little bit more grown up.
In Winchester, our September starts with the Alresford Show. A wonderful agricultural show which allows us to launch September sales and greet clients, old and new. It is lovely that in a business where over 80% of new clients commence their search via the internet, there is still a place for a chat in a field with a glass and a nibble. Each year, we seem to help more and more clients in this way.
Harvests are safely gathered in and the countryside sports stubbled fields in the gentile manner that gentlemen “forget” to shave on a Saturday yet get away with it with a smart shirt. There is a wonderful market at this time of year, whether it is an Indian summer or an early autumn. Buyers busy themselves, as does the rest of nature – hoping to have everything buttoned down before the winter. Salmon race up chalk streams towards their redds, squirrels bury acorns in lawns that are never to be found, gamekeepers prepare for early season partridge and agents prepare to launch post summer sales.
Seasonality has largely been lost in the housing market as a continued shortage of prime property has eroded the traditional “closed seasons” of the school summer holidays. Whilst it is true that many fathers will spend more time away with their families, this does not replace the desire to find the right property. Conversations around holiday supper tables are no less property orientated than weekend dinner parties in town or country. We have experienced consistent markets throughout the year in this respect. Yet the sea change in buying activity is as arbitrary and unpredictable as the seasons themselves. We have sold houses in April heat waves and August monsoons. A remarkable result in the last round of snow, earlier in the year, was a 17% premium achieved for perhaps the most neglected property we have sold.
Continued historically low interest rates have given way to some very cheap mortgage deals. It is essentially cheaper to buy than rent. Stock markets are within pre credit crunch ranges and sovereign debt has arguably been a feature of western economies since they came off the gold standard. It is the differential that is important, what you sell for is only important in relation to what you pay for the next property. In this market, there has arguably never been a better time to trade up.
A 15% premium was achieved in the recent sale of a village house; following 38 viewings, another recently achieved a 12.2% premium after 42 viewings and 23 offers generated over 10 days of marketing. A current sale of a house in Winchester launched last Thursday has generated 44 viewings, 3 offers and 12 notes of interest so far. The market is of short of good properties; therefore it is a sellers market, with great opportunities for our clients to achieve some impressive results.
I can only look forward to the unfolding sales season the onset of autumn with leaves turning to shades that make the whole countryside appear on fire and all that this lovely time of year has to bring. I have packed away my summer marketing skills set, along with my trout rod. My wellingtons and shooting coat are resident in my car. I have a diary full of property appointments and shoot dates. I am excited by all this new season has in store!
Matthew Hallett
Partner
Head of Residential Sales, Winchester
In Winchester, our September starts with the Alresford Show. A wonderful agricultural show which allows us to launch September sales and greet clients, old and new. It is lovely that in a business where over 80% of new clients commence their search via the internet, there is still a place for a chat in a field with a glass and a nibble. Each year, we seem to help more and more clients in this way.
Harvests are safely gathered in and the countryside sports stubbled fields in the gentile manner that gentlemen “forget” to shave on a Saturday yet get away with it with a smart shirt. There is a wonderful market at this time of year, whether it is an Indian summer or an early autumn. Buyers busy themselves, as does the rest of nature – hoping to have everything buttoned down before the winter. Salmon race up chalk streams towards their redds, squirrels bury acorns in lawns that are never to be found, gamekeepers prepare for early season partridge and agents prepare to launch post summer sales.
Seasonality has largely been lost in the housing market as a continued shortage of prime property has eroded the traditional “closed seasons” of the school summer holidays. Whilst it is true that many fathers will spend more time away with their families, this does not replace the desire to find the right property. Conversations around holiday supper tables are no less property orientated than weekend dinner parties in town or country. We have experienced consistent markets throughout the year in this respect. Yet the sea change in buying activity is as arbitrary and unpredictable as the seasons themselves. We have sold houses in April heat waves and August monsoons. A remarkable result in the last round of snow, earlier in the year, was a 17% premium achieved for perhaps the most neglected property we have sold.
Continued historically low interest rates have given way to some very cheap mortgage deals. It is essentially cheaper to buy than rent. Stock markets are within pre credit crunch ranges and sovereign debt has arguably been a feature of western economies since they came off the gold standard. It is the differential that is important, what you sell for is only important in relation to what you pay for the next property. In this market, there has arguably never been a better time to trade up.
A 15% premium was achieved in the recent sale of a village house; following 38 viewings, another recently achieved a 12.2% premium after 42 viewings and 23 offers generated over 10 days of marketing. A current sale of a house in Winchester launched last Thursday has generated 44 viewings, 3 offers and 12 notes of interest so far. The market is of short of good properties; therefore it is a sellers market, with great opportunities for our clients to achieve some impressive results.
I can only look forward to the unfolding sales season the onset of autumn with leaves turning to shades that make the whole countryside appear on fire and all that this lovely time of year has to bring. I have packed away my summer marketing skills set, along with my trout rod. My wellingtons and shooting coat are resident in my car. I have a diary full of property appointments and shoot dates. I am excited by all this new season has in store!
Matthew Hallett
Partner
Head of Residential Sales, Winchester
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