Property Market Comment with Peter Edwards, Knight Frank Country

THE property market in Gloucestershire and the Cotswolds in general has started brightly. Now the first quarter of the calendar year is behind us we can look back and can confidently say that the momentum built-up from the busy and buoyant market we saw in the autumn of last year has come through strongly into 2017 and all sectors of the market from cottages, village houses up to the larger country houses and Farms performing well. We saw good activity and some excellent results have already been achieved across the board.

As we now move into the late Spring and Summer markets with the weather improving and the English countryside coming into its own, we are confident that trading conditions will be as good as they have been since the 2008/9 recession. Importantly, there are no obvious planned disruptions on the near horizon such as elections or referendums that serve to distract the market and often cause periods of inactivity and so we are looking forward to a busy summer ahead.

It is essential to be realistic when it comes to setting the price and appreciate that the seismic shift in stamp duty has had a considerable impact on the market. This is relevant across the board as all sectors are intrinsically linked as people are looking to upsize or downsize and therefore it is either a consideration for them when they come to buy or for their buyers when they come to sell. I cannot overstate the importance of realistic pricing so vendor and buyer expectations are aligned.

Interestingly, we continue to see strong demand from city buyers, primarily buyers emanating from London but also from Bristol, Bath and the smaller regional centres who are looking to improve or alter their living standards and make family lifestyle choices. With tougher market conditions particularly in London, where the market has cooled dramatically, many people are evaluating their quality of life now that there is limited capital growth and therefore a much less compelling argument to stay in their existing home.

The village and smaller town markets are also performing well although appear to be hampered by a lack of available stock. Schooling, transport links and a sense of community remain important factors, the first two being especially relevant for the overseas buyer. With our devalued currency, it is now considerably cheaper and there is an argument to suggest the number of foreign buyers will continue to rise as many Europeans are genuinely concerned about the long term future of the EU and may well see our early departure from it as an opportunity to base themselves in a country that will be ahead of the pack if the EU disintegrates.

In short the market is in good shape, we are expecting strong demand as we move through 2017 and so if you are considering a move then now could be as good a time as ever to make that change.