HOUSING MARKET RECOVERY IN WEST SUSSEX?

Are the first shoots of a housing market recovery in West Sussex visible?   According to the latest government figures, the housing market is showing tentative signs of stabilising nationally with prices rising by more than 1 per cent during April.A report from the Department of Communities and Local Government (DCLG) said the average cost of a home in the UK jumped by 1.1 per cent during the month, while the annual rate at which prices are declining eased to 13% down from 13.6% in March.In the South East,the average house price in the first quarter of 2009 was £202,952.00 compared with £254,070 00 for the same period last year.That’s certainly the case if you seek to buy or sell property in West Sussex.

There’s also confusion about the picture nationally.About 6% of estate agents across the UK said that property values had risen in May, but then 42% said that prices fell, according to figures from the Royal Institution of Chartered Surveyors (RICS).  Presumably the other 52% were out on viewings!Many believe that house prices have not yet bottomed out.It’s not uncommon for there to be months of rising prices when house prices are still trending down and it’s predicted that house prices will continue to fall by a further 10% in real terms to hit their low point around mid-2010.

In such a confusing and uncertain environment, it’s even more important to secure the services of a good estate agent.  One that knows the local really well, particularly if you are looking for property in Worthing, Goring, Findon or Lancing.These areas are proving very popular as a lower cost alternative to Hove and Brighton, where prices have held up remarkably well, especially for those moving from Surrey or Greater London to upsize for less money.

The slower rate of price decline reported by the Land Registry is positive and to an extent house prices are being propped up by the severe lack of property on the market.In the credit crunch many buyers have either set aside or accrued substantial sums to put behind their purchase as a deposit, because they have to given the reluctance of lenders to advance more than 70% LTV.

Despite all those uncertainties, figures from the Council of Mortgage Lenders show that 40% of those purchasing a home in March were first time buyers and the number of completions, especially in West Sussex, seems to have improved.   This 40% figure is still historically low, but there has been a really steep increase in people wanting to buy a home in Worthing, Goring, Findon and Lancing.The biggest problem now facing West Sussex property buyers is a lack of homes on the market.   A lot of people turned to the rental market after their homes failed to sell, but in West Sussex at least it would seem that now is the time for homeowners to put their properties back on the market with a committed and knowledgeable local agent.