At a recent Public Auction held by Barbers Rural I was astounded to see that the trend in property buying appears to have changed. In years gone by derelict cottages would have proved to be the most popular lots of the evening, often selling at substantially more than the guide price. This year it was bare land that was in high demand. Granted some of these lots have speculative development potential and others were in close proximity to residential properties, where homeowners were keen to protect their outlook. However, the demand was impossible to argue with lots selling at 53% over guide price.
This is a trend that we are also seeing in the private treaty market. Through late 2020 and 2021 residential property was selling within hours of launch with very little input from Agents. However, we are now finding that we are reverting to the more typical pre-covid market where a dedicated, carefully considered marketing campaign is required. Rightmove reports that “although the market remains hot, it’s moving ‘from a boil to a simmer’ as we head into the second half of the year. This is because we’re starting to see the huge levels of buyer demand drop ever so slightly compared to the exceptionally busy market of last year. And recently, more sellers have been putting their homes on the market compared to 12 months ago”.
Land, however, appears to be creating substantial demand regardless of the marketing and sales method. It is reported that there was a 10% rise in the average value of land during 2021 – the strongest annual rate of growth since 2014 – and this increase has been very apparent across our area. Over the past 12 months, farmland has also outperformed gold and the central London marketplace, a trend which looks set to continue in to 2023.
As the residential market levels, it is very important that sellers look to utilise an Agent who is prepared to go the extra mile with their marketing campaign. They must consider their target market carefully and ensure that the right buyers are aware of the launch of each individual property. Social media channels and internet marketing allow a marketing campaign to be not only nationwide but also worldwide. No longer does a one size fits all sales approach work – each property is totally unique and should be treated as such with a dedicated marketing campaign.
If you wish to discuss the sale of your property or land Annabel can be contacted on 01630 692500 or a.fearnall@barbers-rural.co.uk.