As January draws to a close, we now look to the year ahead and the one question on everyone’s mind is ‘what will happen to property prices in 2022?’
Will prices continue to rise in 2022?
According to the Office for National Statistics, the average UK house price has risen by 10.2 percent over the past year, with the average price achieved being £285,000 in England.
2021 saw house prices reach their highest level since before the 2008 crash. This increase was largely attributed to stamp duty holidays and a spike in demand from homeowners wanting to relocate quickly considering working from home.
The market is predicted to remain resilient despite a rise in interest rates. The imbalance between demand and supply will continue to push prices up even further.
Savills Residential Forecast predicts property prices will increase between 2 – 4.5 percent across different regions, with the North West region forecast to have the highest amount of growth this coming year.
What about rental prices?
We have been seeing a trend of rising rental figures across the UK, driven by high tenant demand and low numbers of rental properties available.
The areas that saw the highest amount of growth in rental demand and prices were Wales, North West and the South West. London also hit record annual growth with asking rents in the capital now 3 percent higher than their pre-pandemic levels.
Increased demand from tenants has led to landlords being able to not only negotiate higher rents, but to also fill their vacant properties in record amount of time.
What are the best areas for Buy To Let investment in 2022?
The North West is the top region for capital growth as well as rental growth in 2022. We have identified the top performing areas within the North West, with average capital growth over 40 percent in the last 5 years.
To find out more about the best areas to invest this year, get in touch with us.
Call us on 01942 251 945 or email firstname.lastname@example.org