IS 2024 A GOOD TIME TO BUY A PROPERTY IN SUSSEX?

Spring is often the time of year when homeowners consider putting their property on the market and moving. Property portals often experience some of their highest traffic in the earlier months of the year, and many have put their plans on hold over winter and are now ready to start their property search. But, is 2024 the right time to buy a property in Sussex and what should you consider before making a move?

Location Matters

The UK property market in 2024 is booming, with every region experiencing growth. While London takes the crown with a staggering 19% increase in sales, several areas are emerging as strong contenders, including Sussex. The significant growth in the South East is spilling over into Sussex, which boasts a similar lifestyle and beautiful countryside. This increased demand could push Sussex property values upwards.

Compared to pricier areas like London, Sussex offers a more affordable alternative for those seeking a charming southern location. This affordability, coupled with the national market upswing, is making Sussex an attractive option for many buyers. Sussex offers a fantastic quality of life, with stunning scenery, charming towns, and excellent transport links to London. This combination is particularly appealing to young families and professionals seeking a more relaxed pace of life without sacrificing career opportunities.

Prices can vary greatly across Sussex, and some areas may be more susceptible to price changes than others. So, researching your desired area is crucial. Our skilled team can offer you valuable reports on time on market for Sussex properties, giving you a sense of how quickly properties are selling in different locations and the average prices you can expect to pay. Buyers seeking lower budget prices may want to look to areas such as Eastbourne, while Wadhurst or Rye are perfect for family-friendly towns and a strong community feel.

Lower Interest Rates

In November 2021, the Bank of England’s base rate was at a historic low at 0.1%. But after being influenced by several factors such as the impact of the Covid-19 pandemic and the war in Ukraine resulting in soaring inflation, base rates skyrocketed in 2022 and 2023 to over 5%. This previously impacted many mortgage holders and buyers who can’t afford the repayments. But in 2024, there’s indication that inflation is starting to fall, with the Bank of England’s Monetary Policy Committee stating that it expects the base rate to remain at 5.25% until the third quarter of the year and then fall gradually to 4.25% by the end of 2026, making mortgages more affordable.

Impact to Buy-to-Let Investors

Economic circumstances have resulted in landlords needing to become more financially aware and make adjustments to stay afloat, from physically upgrading properties to making changes to their portfolios, to make investing more profitable. With a more subdued market in 2024, it’s likely that there will be some good bargains available in the Sussex region, and with financing more accessible too, investors can find themselves great deals in the year ahead.

What does 2024 look like for first-time buyers?

As affordability challenges persist, many prospective first-time buyers are adapting their expectations. According to recent data, 61% of first-time buyers are now prepared to move to a different part of the country to make their home purchase more attainable. If house prices decline and wage growth outpaces inflation, affordability for first-time buyers could improve in 2024. Data suggests that we’re unlikely to see a significant decline in first-time buyer numbers compared to 2023, despite the ongoing challenges.

Rise in Shared Ownership Demand

As first-time buyer affordability remains challenged, we anticipate an increase in demand for shared ownership properties in 2024. This trend reflects the desire of many individuals to explore alternative means of getting onto the property ladder when traditional routes become less accessible. However, it’s important to note that an increase in demand for shared ownership homes doesn’t necessarily translate to an increased supply, which may pose additional challenges.

Get in Touch

There’s a wealth of fresh opportunities that come with a new year, along with several challenges, and in 2024, buyers will need to be well-informed and prepared to make a successful property purchase. At Hunters Group, we take pride in staying on top of the Sussex property market and we’re well placed to help you make the right decision when searching for a property or getting the best price for your own home. Contact us for local property knowledge and expertise.