As a local lettings and estate agent in Bath, it is crucial we take some time at the beginning of the year to pour over last year’s statistics and take a view to what is to come in 2025. Analysing the 2024 property market locally, here in Bath, and nationally allows us to make some predictions for what we think will happen to the property market in 2025.
In 2024, the UK property market recorded 1.2m homes sold subject to contract (SSTC). This represents a 15% increase when compared to 2023, where 1.06m homes went SSTC.
The average price of a property SSTC in 2023 was £354,981 and the average sale agreed price was slightly higher at £361,529. The number of transactions has significantly risen, while the average price paid stayed around the same. That means that while house prices have not really risen, the number of UK homes that sold did significantly. Remember, the best bellwether of the health of the UK property market is not necessarily UK house prices but the number of homes sold.
So, what were the key drivers in this surge?
- FALLING MORTGAGE RATES
- Lower interest rates made borrowing more accessible. This in turn encouraged buyers who may have been previously hesitant at the higher mortgage rates.
- WAGE GROWTH
- Rising wages have given potential buyers greater financial confidence, enabling them to consider property purchases.
- LOW UNEMPLOYMENT
- A stable job market gave a sense of security to buyers, allowing them to make investments.
- CHANGING PREFERENCES
- Post pandemic adjustment in peoples personal and work lives have been key players in what people want out of a home. A few years ago when Work From Home was encouraged or compulsory, people wanted more space and didn’t have to worry about the commute time. Now, as more people are pushed back into the office, there is a shift again into people needing to move closer to their employers office.
Turning our attention to the local level here in Bath, it is important to recognise that local markets can behave differently from the national trends. In 2023, 1,919 homes sold in Bath for an average of £564,000 at an average of $482/sq.ft. Whilst in 2024, 2,183 homes sold at an average cost of £580,000 with an average of £472/sq.ft.
This is an 11% increase in transactions. So, what for 2025?
LOCAL INFLUENCES SHAPING THE MARKET:
Baths property market doesn’t exist in isolation, it is shaped by a range of local factors that are often similar yet different when compared to the national trends. Changes in employment levels, ongoing infrastructure developments and shifts in the demographic profile all impact the market. Regional policies can also influence market activity. Understanding these nuances is crucial in making an informed decision.
As we move into 2025, the property market here in the UK shows continued promise. Evaluating your property’s position within the Bath market could make all the difference in navigating opportunities or mitigating challenges in the year ahead. While 2024 was strong, it’s critical to go beyond the headlines. Local insights often reveal opportunities that broad trends don’t capture.
The Key to Selling – Realistic Pricing
Looking at the statistics above, over half of the properties listed for sale in Bath go on to sell. This highlights an essential truth about the Bath property market: pricing your home realistically is the single most crucial factor in securing a successful sale. Many estate agents are tempted to overprice properties to win your business, but this approach can significantly hinder your chances of selling, especially in a competitive market like Bath.
Research reveals that properties listed at the right price from the start are far more likely to sell quickly and successfully. For example, homes that sell within the first 25 days of being listed have a 94% likelihood of reaching completion and ensuring the homeowner successfully moves. However, if a property lingers on the market for over 100 days, if the homeowner does agree on a sale, the chances of that sale going on to exchange and complete (i.e. the homeowner moving) plummet dramatically to 56%.
As an experienced local property agent in Bath, we understand the intricacies of our market and can provide honest, expert advice about your property’s value. We aim to help you set a realistic asking price that maximises your chances of selling while achieving a fair and competitive market value. I analyse local market conditions daily and stay up-to-date with shifting trends, ensuring your home is priced to sell – not to sit on the market.
If you’re eager to move and want a reliable, professional approach to selling your home in 2025, we’re here to help. Let’s work together to make your property stand out in Bath’s market, attract motivated buyers and ensure a smooth sale from start to finish. Get in touch today for tailored advice and a strategy to sell your Bath home.
