With January well underway and with a clear election outcome, here at Danvers, we are starting to see the property market gain confidence with New Instructions & Sales being received. This is an industry sentiment, which is revealed by the latest RICS Residential Market Survey for the month of December. 

The RICS Residential Market Survey highlights three areas that the property market is gaining more confidence in:

  1. Sales expectations have marked improvement for both short and long term (12 months).
  2. Enquiries for both Sales and New Instructions have increased over the month. 
  3. House prices are expected to keep growing over the next 12 months. An excellent sign for Leicester, as it had one of the highest property price increases for 2019!

The latest RICS survey also shows that industry sentiment in the property market is starting to become more positive following December's 2019 election, due to the new Conservative government’s majority in Parliament. 

An anticipated increase of 31% of property transactions is expected over the next three months, which is a great sign for the property market in Leicester.

At Danvers, we are certainly seeing an increase of Sales & New Instructions since the first day back in 2020, with most homeowners who waited to buy or sell their property showing a sign of relief due to the political uncertainty being over.

This positive start to the property market in 2020, will hopefully create many opportunities for those looking to get into the property ladder. However, we must mention that housing affordability will come into the equation if the property market keeps showing signs of growth. If house prices carry on increasing as they are predicted, First-Time Buyers may find it less affordable, especially if wage growth doesn’t match. 

However, banks and building societies have greatly benefited from First-Time Buyers between the start of 2018 and the end of 2019, with First-Time Buyers driving the property market.

It is expected that banks and building societies will launch new mortgage products to allow First-Time Buyers to get onto the property ladder, with some offering 95% LTV with an interest rate of 2.59%. For property owners who are looking to re-mortgage, mortgage rates as low as 1.10% are currently being advertised!

A strong property market is certainly on the cards, which is a good sign for Leicester for the start and long run of 2020, and if the government enacts favourable legislative policies such as an amendment to stamp duty, the property market could get even brighter!


Whether you are looking to Buy, Sell or Let, speak with a property expert today by calling us on 0116 275 8888!