House prices in some Lincolnshire postcodes are expected to fall as the Brexit deadline looms on October 31, according to house-selling forecaster PropCast.
While the majority of postcodes in the East Midlands are expected to see a rise in house prices ahead of Brexit - a number in Lincolnshire are predicted to fall.
PropCast is reporting on where buyers are most willing to pay the prices house sellers are currently asking, and predicts that 59% of homes in the East Midlands are expected to rise in value.
It analysed the performance of 75,240 property sales across the East Midlands’ 22 postcode districts to identify which are the strongest and weakest property markets for homeowners
Gavin Brazg, founder of PropCast, said: “For those where house prices are expected to grow, the following is happening - house buyers feel the houses are under-priced and buyers are increasingly keen to pay the price sellers are asking. Price rises are a function of supply and demand and so the PropCast prediction is that this increase in demand (from buyers) will be followed by an increase in the prices being asking by sellers (ego. House prices go up).
“The opposite is happening for those areas predicted to see how prices fall. Buyers feel the market has peaked and the PropCast data shows buyers are becoming less keen to pay the prices sellers are currently asking. As such, the PropCast prediction is that this decrease in demand (from buyers) will be followed by a fall in prices.”
The areas of Lincolnshire where house prices are expected to drop are:
* LN1: Saxilby, Stow, Sturton
* LN10: Woodhall Spa, Kirkstead, Roughton, Bucknall, Horsington, Kirkby on Bain and Stixwould
* PE22: Benington, Butterwick, Carrington, Eastville, Freiston, Friskney, Frithville, Langrick, Leverton, Mareham le Fen, Moorby, New Bolingbroke, Old Leake, Revesby, Stickney and Wrangle.
* PE10: Bourne, Bulby, Cawthorpe, Dowsby, Dunsby, Dyke, Edenham, Grimsthorpe, Haconby, Hanthorpe, Keisby, Kirkby Underwood, Lound, Manthorpe, Morton, Rippingale, Scottlethorpe, Stainfield, Thurlby, Toft, Twenty and Witham on the Hill
* PE11: Spalding (most of), Deeping St Nicholas, Donington, Gosberton, Hop Pole, Quadring, Quadring Fen, Surfleet and Tongue End.
None of the postcodes in Lincolnshire are predicted to see a rise in house prices ahead of Brexit.
Gavin Brazg comments: “Although the majority of East Midlands retain the upper hand despite Brexit uncertainty, sellers still need to position their asking price competitively against other similar properties for sale if you want to attract multiple offers and achieve the best possible price. With recent political upheaval, it’s even more vital to really ensure your estate agent is implementing the best selling strategy for your local market as buyer confidence could well be dented after the 31st October deadline. Meanwhile, buyers currently on the fence about buying in these areas should get their offers in as soon as possible – there are also some great mortgage deals to be had at the moment.
“For those in areas which are expected to see prices fall, try not to be too down heartened. There are numerous factors that can lead to drops which are usually symptomatic of each other. When buyer demand in a particular area consistently drops or houses are left on the market for too long (usually because of the decrease in demand), homeowners will often be advised to lower their house price (or their expectations) in order to make a sale. The best way for sellers to strengthen their position in a falling market is to price conservatively from the start and choose a local, trusted estate agent who truly knows the market and how best to position your home within it for a fast sale. Meanwhile, this does mark the perfect time for buyers to swoop in knowing they have the upper hand in negotiations and bag themselves a bargain so if you are selling in one of these areas, don’t forget you will be making a saving when purchasing your next home.”
PropCast measures buyer demand levels across England & Wales which helps tell sellers whether their home will be easy to sell or not, and if they are able to be ambitious with their asking prices. Because buyer demand (relative to the available stock of properties) is a primary driver of house prices rising or falling, there is a strong correlation in weak markets between falls in buyer demand leading to a fall in house prices, and for rises in buyer demand to lead to house price increases.
The PropCast data is updated on the 1st of each month.
To see how your postcode is performing, visit their website.