2-Bed or 3-Bed

Boston Homes:

Which Sells the Fastest?

 

Understanding the nuances of property sales is essential for both homeowners and investors in the dynamic Boston property market.

 A few weeks ago, I stated that of the Boston properties that have sold subject to contract (stc) in the three months of Dec, Jan & Feb, it took an average of 80 days to sell.

 Now time has moved on, looking at the Jan, Feb and March Boston house sales, this has increased slightly, so now …

the average Boston home in Q1 2024 was on the market

for an average of 83 days before agreeing on a sale. 

This change, though minimal, is noteworthy against the backdrop of the UK's economic environment. 

As a seasoned estate agent in Boston, my interactions with landlords and homeowners eager to navigate the Boston property market have revealed a common query: the impact of property type and number of bedrooms on its saleability.

Saleability can be measured in several ways. One method is to calculate what percentage of homes of that type, etc, sell compared to how many do not. Another is to calculate how long it takes to agree on a sale. A few weeks ago, I looked at how the price range affects how long it takes to agree on a sale. Therefore, for this article, I wish to look at how quickly a property sells when looking at the type of property or the number of bedrooms.

 

Boston Detached, Semi-Detached, Terraced or Flat –

Which sells the quickest?

 

Looking at the home sales that have taken place in the last three months, this is how long it has taken to find a buyer for the different property types: 

·         Detached homes in Boston - 103 days to find a buyer.

·         Semi-Detached homes in Boston - 62 days to find a buyer.

·         Terraced/Town Houses in Boston - 34 days to find a buyer.

·         Flats/Apartments in Boston - 73 days to find a buyer.

 

Boston 1 beds, 2 beds, 3 beds, 4 beds or even 5+ beds –

Which sells the quickest?

 Looking at the home sales that have taken place in the last 3 months, this is how long it has taken to find a buyer for the different bedroom types: 

·         One bed homes in Boston - 299 days to find a buyer.

·         Two bed homes in Boston - 55 days to find a buyer.

·         Three bed homes in Boston - 81 days to find a buyer.

·         Four bed homes in Boston - 92 days to find a buyer.

·         Five bed (or more) homes in Boston - 187 days to find a buyer.

Drilling down into the numbers, it becomes apparent that Boston terraced/town houses are the quickest to sell when it comes to type of property and Boston properties with two-bedrooms sell the quickest.

The Current Boston Property Market Landscape

The present-day Boston property scene presents a mixed bag. An increase in listings compared to 12 months prior suggests a vibrant market, yet it must be remembered that there has been an increase in selling times, which hints at a shift towards a buyer's market (in 2022, it took an average of 46 days to secure a home sale, whilst, in 2023, it was 68 days). This nuanced change underscores the importance of strategic selling and investment approaches in today's climate.

 Understanding and adapting to these shifts is critical for those selling their homes. The proper presentation and pricing strategy can significantly enhance your Boston property's appeal, aligning it with current buyer preferences and market trends.

On the investment side, properties that have lingered on the market might represent hidden gems. These situations often allow for more negotiation leeway, potentially leading to advantageous deals.

As we enter Q2 of 2024, the Boston property market is ripe with opportunities. Sellers must be attuned to what resonates with today's buyers, leveraging insights on preferred property types and sizes to their advantage. Meanwhile, Boston buyers and buy-to-let investors can find value in exploring properties that have been on the market longer than average, where negotiation can yield significant benefits.

Expert Advice for Navigating the Boston Property Market 

In navigating the Boston property market, several strategies can prove invaluable.

For Sellers: Emphasise your property's unique selling points, be it location, size, or specific features. Ensure your Boston property is well-presented. Setting a realistic price based on current market trends and comparable sales will expedite the selling process.

For Buyers and Investors: Conduct thorough research to identify areas with high growth potential or market-undervalued properties. Consider properties others may have overlooked, as these can often be negotiated to a more favourable price.

For Everyone: Stay informed. My Boston property blogs and national property news can keep you abreast of local market trends and provide a strategic edge, whether you're selling, buying, or investing.

With its ever-shifting dynamics, the Boston property market presents many opportunities and challenges. For sellers, aligning with market preferences and presenting your property in the best light is crucial. Buyers and investors, on the other hand, should look for potential in less obvious places where patience and negotiation can unlock significant value. Navigating this landscape requires market knowledge, adaptability, and strategic action.

Whether you're looking to sell your cherished home or make a savvy investment, understanding the pulse of the Boston property market is your key to success. If you have any questions about what I've said in this or any of my articles on the Boston property market, please do not hesitate to contact us by telephone, email, direct message or text.

 

 

 

 

 

 

 

 

Boston Q1 2024

Property Market Report

 

In the articles on the Boston property market, we like to provide an insight into the real story of what is happening in our Boston (and national) property market and address the misconceptions that some of the ‘doom monger’ media have been spreading.

 

Despite almost daily reports of a housing market crash since September 2022, the data shows that the British (and Boston) property market is doing OK.

 

So, let’s dive into the stats and start with the life blood of the housing market – new properties coming on to the market.

 

Nationally, 444,668 UK properties came onto the market in Q1 2024.

(Q1 = Jan & Feb & March)

 

Interesting when compared to 407,946 UK properties in Q1 2023 and the 7-year Q1 average (2017 to 2023) of 403,105 new properties on the market.

 

New properties coming onto the market are a vital bellwether of the property market.

 

Why? Well in 2008, the number of properties coming on the market in Q1 was double that of 2007, this meant supply (number of homes on the market) vastly outstripped demand and hence economics dictated, and house prices fell.

 

The balance of houses coming on the market and how many sell determine what happens to property prices.

 

So how do you know if we are heading for another Boston house price crash as we did in 2008 or not, as the case maybe?

 

Let me share a quick and easy way to find out before anyone else.

 

Initially, perform a Rightmove search and write down the number of properties for sale every week. Next, carry out the same search, yet this time include sold subject to contract properties and make a note of that. The difference between the two numbers will show the number of properties sold subject to contract. The final step is to calculate the ratio between the first two numbers: i.e., what’s available versus what’s been sold.

 

If the ratio of sold property to available property rises monthly, the market is improving. If the ratio is falling, the market is slowing.

 

If you really wish to go deep into this; you could split the search into the property type (and bedrooms) you are selling and buying e.g., detached, semi, terraced/town house or apartments. This will help you to judge demand and supply and time the market to your advantage.

 

Next, looking at house sales nationally,

302,382 properties sold (stc) in Q1 2024.

 

However, the devil is in the data. Comparing previous years, in Q1 2023, 276,482 properties sold stc whilst the 8-year Q1 average (2017 to 2024 inclusive) is 304,363.

 

Obviously, the medium-term 8-year UK average includes Q1 2021, where 397,402 properties had sold stc and Q1 2022 when 341,888 properties sold stc. Both of those years were exceptional; however, when we compare Q1 2024 to the Q1 average of 2017/18/19/20, a more reasonable 282,488 houses were sold stc on average.

 

Next, I wish to look at what is selling nationally by price band.

 

·         35.4% of the properties that came on the market in Q1 2024 were in the up to £250k price band, yet 42.9% of the home sales (SSTC) were in this band.

 

·         41.0% of the properties that came on the market in Q1 2024 were in the £250k to £500k price band, yet 39.6% of the home sales (SSTC) were in this band.

 

·         13.4% of the properties that came on the market in Q1 2024 were in the £500k to £750k price band, yet only 10.7% of the home sales (SSTC) were in this band.

 

·         5.1% of the properties that came on the market in Q1 2024 were in the £750k to £1m price band, yet only 3.7% of the home sales (SSTC) were in this band.

 

·         5.1% of the properties that came on the market in Q1 2024 were in the £1m + price band, yet only 3.1% of the home sales (SSTC) were in this band.

 

Looking locally at the Q1 stats, starting with the number of properties in the Boston area (PE21) that came onto the market in Q1 2024 …

 

290 properties came onto the market in Q1 2024

in the Boston area.

 

The average price of those Boston properties coming to the market was £211,107.

 

The price range/band that saw the most listings was the £150k to £200k range, where 67 Boston area properties came onto the market (followed by the £100k to £150k range, where 63 properties came onto the market).

 

Now, looking at sales in Boston …

 

242 properties were sold in Q1 2024 in the Boston area.

 

The average price of those Boston properties selling was £195,183.

 

The price range/band that saw the most sales was the £150k to £200k range, where 61 Boston area properties were sold (followed by the £100k to £150k range with 53 Boston area properties sold subject to contract).

 

 

Typical first-time buyer properties are leading the recovery.

 

Although economic turbulence remains, the UK property market is gradually moving towards pre-pandemic activity levels.

 

Some of you might have noticed with the national listings and sales figures mentioned above, that the lower priced range of properties are performing better than the higher priced properties. For example, just over a third (35.4%) of UK listings were £250k or below, yet that price band accounted for over 1 in 2.3 house sales (42.9%).  Meanwhile, at the other end of the scale, 8.9% of listings in the UK in Q1 ’24 were in the £750k to £2m price band, yet only 6.2% of the sales were in the same band. In the £2m+ price range, even though the numbers are very small, the difference is quite startling, 1.3% of listings were £2m+, but only 0.55% of sales agreed were in the same range.

 

So, what does this all mean for Boston homeowners wanting to sell in this market?

 

Realistic pricing when you put your house on the market is everything!

 

In Q1 2024, there have been 198,682 price reductions on the 633,417 properties on the market.

 

In comparison, there were 243,602 price reductions in Q1 2023 on the 590,481 properties on the market and 119,068 price reductions in Q1 2022 on 424,796 properties on the market.

 

It is better to come on the market at a realistic price to start when the property is fresh to the market, than go on at a high price, lose that initial honeymoon period and then reduce it, only for some people to wonder what was wrong with the property.

 

The Boston property market is seeing stability and confidence return as it has now fully recovered from the turbulence at the end of 2022 when the Kwasi Kwarteng mini budget accelerated the speed of this slowdown.

 

Although higher mortgage rates and economic headwinds present challenges, many potential Boston home buyers, who were effectively sidelined in the fierce bidding wars of 2021/22, will find that a slower paced Boston property market gives them time to plan a strategy for their next move as we go into the traditionally busy post-Easter house buying season.

 

While the demand for quality Boston houses is still healthy, if the asking price is above the current market, sellers may need help finding buyers.

 

Determining a realistic price is crucial but not easy. Many sellers look at similar properties on property portals, but those prices may be over-inflated.

 

Estate agents have more tools at their disposal, such as comparing sale prices for comparable properties, £/sq.ft. and thinking about prospective purchasers in the market for the type of property under valuation.

 

Although getting the price right can be difficult, revising it downwards quickly is essential.

 

Boston homeowners should ensure that their property looks better value for money than similar properties. If you plan to trade up, it is good sense to sell at realistic prices, as you will gain substantial savings compared to moving in the last few years.

 

However, if you don't need to sell urgently, becoming a landlord could be an option - again I can help on that if needs be. Nevertheless, Boston homeowners-turned-landlords should consider that if property values do drift downwards in the coming 12/18 months, it may take a few more years after that to recover to those values seen last year.

 

Whatever the rest of 2024 brings, moving home should mostly be based on your circumstances and not solely on what is happening to Boston property prices.

 

If you would like an informal chat about your potential move without any obligation or cost, get me around for a chat. I promise I will tell you like it is, without any guff – then you can decide what is best for you and your family.

 

80 Days to Sell a Property in Boston

 

Whether you are a Boston landlord looking to liquidate your buy-to-let investment or a Boston homeowner looking to sell your home, finding a buyer and then getting the legal work done can take a frustratingly long time.

 

It is a step-by-step process that can take many months.

 

One of the worst parts of house selling is not knowing how long you might be stuck at each step. Independent research shows that, in the last 12 months, every estate agent in the UK has taken on average, 67 days from the property coming on the market to be sold subject to contract (STC) and then 113 days to get to completion. That's nearly 26 weeks from the board going up.

 

The journey is a long one and not guaranteed. Nationally, only 52.8% of UK homeowners who placed their homes on the market in 2023 sold and moved.

 

Therefore, I will explain each stage of the house-selling procedure in Boston in this article.

 

Stage 1 – Find Your Buyer

 

You need to instruct an estate agent (of course, we can help you with that) who will discuss a pricing and marketing strategy to help you find a buyer who fits your circumstances.

 

Independent data states that, in the last three months, it has taken an average of 80 days for a Boston home to agree to a sale (i.e., sold STC)

 

Yet, as I have stated in my other recent articles, the Boston property market is like a fly's eye, split into many little micro markets.

 

Looking at that independent research (which only focused on Boston), it was thought-provoking to see how the different price levels (i.e. those different micro markets) are currently performing when we consider the average number of days it takes to find a buyer for a property in Boston.

 

Average time to find a buyer in Boston for sales agreed (SSTC) in the last 3 months (Boston centre plus a 2-mile radius).

 

·         Under £100k - 46 days

·         £100k to £200k - 65 days

·         £200k to £300k - 112 days

·         £300k to £400k - 183 days

·         £400k to £500k - 289 days

·         £500,000 to £1m - 84 days

Then, I looked at the same data and calculated which price band had the highest proportion of properties sold (stc).

·         Under £100k - 29 sales agreed (SSTC) - 14.15% of the properties Sold STC in Boston in the last 3 months

·         £100k to £200k - 99 sales agreed (SSTC) - 48.29% of the properties Sold STC in Boston in the last 3 months

·         £200k to £300k - 55 sales agreed (SSTC) - 26.83% of the properties Sold STC in Boston in the last 3 months

·         £300k to £400k - 17 sales agreed (SSTC) - 8.29% of the properties Sold STC in Boston in the last 3 months

·         £400k to £500k - 4 sales agreed (SSTC) - 1.95% of the properties Sold STC in Boston in the last 3 months

·         £500,000 to £1m - 1 sale agreed (SSTC) - 0.49% of the properties Sold STC in Boston in the last 3 months

·         over £1m - 0 sales agreed (SSTC) - 0.00% of the properties Sold STC in Boston in the last 3 months

 

So, now you have secured a buyer. What is next?

 

Selling your property in Boston involves a variety of typical issues and the involvement of a wide and varied range of professionals.

 

That means huge differences exist in how long it takes from one Boston property to another.

 

Stage 2  - Instruct Solicitors (and Mortgage)

 

Again, we can suggest the best solicitors to sell your Boston home. As the home seller, your solicitor will prepare your home's initial legal paperwork (with your help) and then send it to your buyer.

 

Stage 3 – Legal Work and Survey

 

Once your buyer's solicitor receives the paperwork, they apply for local searches from the local authority/land registry (to ensure no roads or airports, etc., are being built in the back garden!). These searches can take several weeks to be returned from the local authority/land registry, from which questions will be raised by the buyer’s solicitor to your solicitor. At the same time, the surveyor will check the property to ensure it is structurally sound and worth the purchase price.

 

Stage 4 – Exchange of Contracts

 

Assuming all the mortgage, survey, and legal work is without any issues, both buyer and seller sign contracts, and the solicitors then perform an "Exchange of Contracts". When contracts are exchanged, the buyer pays a non-returnable deposit, and now both buyer and seller are legally tied in. YET, hold on—we aren't there yet!

 

Stage 5 – Completion

 

Completion is when the money and keys are handed over. It usually happens a week to a fortnight after the exchange of contracts (yet since lockdown, it can happen at the same time as the exchange of contracts). In essence, the buyer’s solicitor sends the purchase money to the seller’s solicitor, and once that money arrives, the keys will be given to the buyer.

 

In Boston, it currently takes 106 days from instructing solicitors

(Stage 2) to completion (Stage 5)

 

Compared to 113 days nationally.

 

To conclude, you are looking at a good five to six months from putting the for-sale board up to moving out.

 

If you are thinking of selling your Boston home or if you are a Boston landlord wanting to sell your buy-to-let property (with tenants in) and you want an informal, no-obligation chat to ensure you get a decent price with minimal fuss, drop me a message or pick up the phone.