House prices have gone through the roof recently, following 2021's property market boom. So, what's to come in 2023?
Based on last year, it would be hard to lay any big bets on what may happen in 2023 with any confidence, but the market seems to be showing a robust level of activity, albeit slowing ever so slightly. Below we share our expert thoughts on what could be the key topics this year...
Rightmove forecasts that, depending on the type of property, asking prices will, on average, drop by 2% in 2023*. As this is a national average, housing market activity and house price changes will vary depending on where you are selling or buying. Overall, we can expect to see a more level market with fewer peaks and troughs.
For landlords, there are many considerations they will need to weigh up when it comes to continuing with buy-to-let and thinking about buying additional properties. On the one hand, letting a property has more challenges than ever, with the increased cost of living, rising mortgage costs and additional legislation to cope with.
However – demand from tenants for a place to rent continues to rise, fuelled in part by many first-time buyers putting plans on hold and opting to rent instead until the economic climate improves their personal circumstances. This demand is far from being met by the current supply of available rental property. Not only does this mean that letting a property is quicker than ever, but rental prices are being pushed upwards to record levels, currently averaging £1,174 across the UK^. The chance to generate a good yield is still there for landlords, if they invest in the right properties and locations.
If you are thinking of investing in buy-to-let, why not read our Guide to Investing.