You might be forgiven for thinking that the holiday season is the worst time to sell your property, with potential buyers focusing on festive rivalries and sleeping off their Christmas lunch rather than looking for a new home.
However, the opposite is actually true – our data shows that the number of potential buyers visiting the Edward Mellor website tripled between Christmas Day and Boxing Day 2023.*
It’s actually something of an open secret across the property industry that millions of buyers start their property search between Boxing Day and the New Year. The UK’s largest property portals will often share articles detailing how they too have experienced a significant jump in traffic on Boxing Day, with this trend extending back over the past decade.
We know that thousands of potential buyers will be searching the market on Boxing Day and are here to help buyers make sure that their home is presented to the most suitable prospects.
As we approach the end of the year, property owners will be asking themselves whether now is the right time to put their homes on the market.
There’s no question that it’s been another seismic year for the UK property market. A tentative drop in inflation (although this has not risen to 2.3% – 0.3% more than the government’s target), reductions in the Bank of England (BoE) Base Rate and the first Labour Party budget in 14 years have all impacted how both lenders and buyers are eying the property market.
The good news for property vendors is that yes – demand for property in the UK remains high and is likely to be strong going into 2025.
According to the Royal Institution of Chartered Surveyors (RICS), the key metrics of demand, sales and new listings have all risen as of October 2024.
Respondents to the RICs survey also reported an increase in the number of people looking to list their homes, with a clear jump of 22% compared to a rise of 9% for September 2024.
This has been an ongoing trend for some time, as the property market has shown great resilience in recent years despite the slowdown caused by the Covid-19 pandemic.
This has been demonstrated by a slow, yet consistent increase in house prices. Data from the Office of National Statistics (ONS) published in October shows that since July 2024, average house prices have risen 1.5% according to its August data. The North West experienced the greatest annual price rise – up by 4.6%.
The ongoing strength of the property market and the clear demand from buyers suggest that now is a great time to bring a property to market.
The surge in activity throughout the property market has been fuelled by several factors, including improved lending conditions and increased buyer confidence in recent months.
Average mortgage rates have fluctuated between 4.5% and 5% in recent months after reaching as high as 6% in 2022. Bank of England’s (BoE) surprise decision to lower its Base Rate to 4.75% in November 2024 has sparked speculation over if and when lenders will lower mortgage rates.
During November 2024, average mortgage rates were 5.42% for two-year fixed mortgages and 5.13% for a five-year deal.**
Although mortgage rates have yet to fall significantly following the latest Base Rate announcement, and have even increased in some cases, it is widely believed the BoE will hold its rate at 4.75% in December. It is anticipated that this will strengthen lender confidence and pave the way for mortgage rate decreases going into 2025.
This is good news for buyers who are already looking to complete their property purchases quickly to beat the lower Stamp Duty Land Tax (SDLT) threshold, which is due to return lower next year.
From 1 April 2025, the SDLT threshold will change from £250,000 to £125,000. This will mean that buyers purchasing homes valued over £125,000 will need to budget for the payment of stamp duty on their property.
For example, for the purchase of a home valued at £300,000, buyers will pay an SDLT of £5,000, as calculated below:
Band 1: (0%) Taxable Sum: £125,000 | Due: £0
Band 2: (2%) Taxable Sum: £125,000 | Due: £2,500
Band 3: (5%) Taxable Sum: £50,000 | Due: £2,500
Band 4: (10%) Taxable Sum: £0 | Due: £0
Band 5: (12%) Taxable Sum: £0 | Due: £0
Total Stamp Duty: £5,000
Although discounts will still be available for first-time buyers, SDLT on first homes will also change in April 2025.
From April 2025, first-time buyers will pay no SDLT on properties valued up to £300,000 and 5% SDLT on the remaining value of a property valued from £300,001 to £500,000.
First-time buyers will not be able to claim relief for homes valued over £500,000.
The ‘carrot’ of attractive mortgage rates and the ‘stick’ of beating the upcoming changes to SDLT are both fuelling an already established seasonal drive to complete property transactions earlier in the New Year.
For vendors looking to sell their homes in 2025, now is the time to prepare your property for the market. With so many invested buyers ready to begin their property journeys in the new year, getting your home ready for market is vital for beating the ‘Christmas rush’.
Getting ahead of the Christmas boom will help you to sell your home quickly and for a good price. While demand is high, it is vital to time your sale to coincide with the greatest levels of interest to ensure that your property is seen by potential buyers first.
Remember that if you are moving home, completing your sale and progressing through the purchase of your new home could help you avoid the new SDLT threshold if your new property is valued between £125,001 and £250,000.
Getting your property on the market in time for the Christmas Rush will mean that your home is seen by the most invested buyers. This is critical for securing the right price for your home and getting your onward property journey off to the right start.
Edward Mellor has a database of thousands of local buyers, which means we can market your property to the right people as soon as your home hits the market.
Getting ahead of the Christmas rush and completing your onward property journey will allow you to focus on settling in and getting on with everything else that life has to offer like planning your next holiday or preparing for a new arrival to the family.
To get ahead of the Christmas rush and sell your home for the best price, contact the best locally-selling estate agent today.***
Edward Mellor has been helping people to buy and sell property for over 40 years and our combined local knowledge and database of thousands of motivated buyers means that we can market your home to the right buyers at the moment they are looking to commit to a purchase.
There’s no fee if your property doesn’t sell and our friendly property experts are ready to provide a free, no-obligation property valuation to help get you started on your property journey.
To find out more, simply contact us using the link below.
* Based on Google Analytics Data for site visitors to Edward Mellor 25th-26th December 2023.
** BBC Reporting, 7th November, 2024
*** Data from Rightmove based on sales (subject to contract) 28.06.24 – 14.11.24 in Edward Mellor core areas.
This article does not constitute financial advice. You should always speak to a professional broker for advice on your mortgage. Your home may be at risk if you do not keep up with your mortgage payments.
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