Measuring commuting distance might seem a little obscure but it actually offers a particularly good insight into the character of any local housing market. For example, commuter towns tend to really come alive at the weekends but are quieter in the week. Areas where most people work locally will have a stronger community feel day-to-day.
It won’t come as any massive shock that houses are generally worth more than flats in our area. However, when it comes to the movements over time, these two broad types of property do not always behave similarly. Here we see how flats and houses have varied in price.
The property market fluctuates on a seasonal basis, and this is particularly the case for sales rates. This chart shows how the market has changed over the course of the last few months. The most recent periods are estimates based on the previous year’s pattern.
As you’re no doubt aware, there’s a lot of doom and gloom surrounding the national property market at the moment. For example, the Nationwide index showed that in June, annual house price growth had slowed to a five-year low. Our area hasn’t been immune; in the first quarter of 2018, there were only 3.4 per cent more sales than the same period in the previous year.
With the FIFA World Cup kicking off on 14th June, we have been reflecting on the last time that England was victorious and how much the housing market has changed since then.
When England last won the championship in 1966, the average price of a home was just £3,558. More than half a century later, average prices have increased by a massive 5853% to almost £212,000. Back then, just over half of homes (51%) were owner-occupied. Now the proportion of households living in their own home has increased to 63% (although it did peak at 70% in the early 2000s).
The proportion of households renting privately is at the same level as it was, at 20%. However, this masks the massive change in private renting in the intervening years, having dropped to less than 10% in the early 90s.
Finally, there have been many changes to the fabric of our housing stock. Since Bobby Moore lifted the World Cup, more than 6.5 million new private homes have been built across England.
I have reported in previous editions of ‘The Landlord’ that there has been an increase in average rental figures across Manchester so I thought I would look further into this date and look specifically at the area’s Julian Wadden covers.
The split of population by age group has a big effect on the local housing market; the demographic profile affects prices, but more importantly the tenure mix and the rates of sales. The patterns you can see here gives you a good insight into the profile of local residents.
The rate at which properties are sold in the market is probably the best indicator of what we in the trade call ‘buoyancy’. In this chart, we show the number of properties which have been sold each year since 2008.
Some people rattle around in their home like two beans in a can whilst others are packed in like sardines in a tin. There is a formula, created by the Office for National Statistics which gives the occupancy rating of each home. This number shows whether a property has the ‘right’ number of rooms given the number of people living there. This shows the picture in our local housing market.