2022 has seen a busy start to the property market with the fundamentals unchanged from 2021, low stock, high demand, and rising prices in both the rental and sales market. We continue to see high demand for houses and the requirement for more space, gardens, and the ability to work from home as top priorities.
Within the Redhill sales market the demand for flats is undoubtedly less than that of houses. The two graphs below illustrate the average change in prices for the last 12 months, the first for houses, the second for flats. Both show prices continue to rise, though the rate of increase is clearly slowing over the last six months for houses.
The story for apartments is different and seems to defy the general downward trend. Looking at the Greater London average, prices have been in decline for the past six months, Redhill, however, shows an improving picture…. or does it? The town centre is seeing huge regeneration and as part of that large numbers of new build apartments are coming to the market. Buyers pay a premium for new build and as such the recorded sale prices are likely to be skewed by this and hide the fact that the second-hand market is in decline. It will be interesting to see how this trend develops over the next 6 months as the supply of new build apartments dries up.
The rental market is certainly short on stock. Over the last 12 months, the average rent achieved for properties let in Redhill was £1,134 per month. This is a 7% increase on the previous 12 month period and rents continue to rise. Within Redhill 15.8% of residents live in privately rented accommodation and number that I’m sure could increase if more landlords enter the market.
If you are considering a move within the Redhill property market, feel free to get in touch with us, Martin & Co are busy in the local market and happy to offer our thoughts and advice on all matters property related.