It is not unusual to see prices drop in December, as BTL investors tend to wait until the Christmas period is over before making any investment decisions. In reaction, sellers will drop prices. So, while asking price reductions are typical, it could be an opportune time for buyers to find good-value properties in the market.
Prices are more subdued than usual, thanks to high inflation and interest rates for most of the year. This has forced buyers away from the market. However, in the final months of 2023, inflation fell to 4.6%, and interest rates stayed at 5.25% following repeated increases over the year.
This has led to increased confidence in the market, with mortgage rates coming down below 5% in some cases.
Currently, the average property price in the UK is £292,882 (per HM Land Registry). However, some areas, like the North West region, have much better-value properties available. With an increase in discounted homes available, investors may want to look to these better-value areas to maximise their chances of finding bargain properties in the UK property market.
Consider checking out our guides on property investments and investing for monthly income for more essential buy-to-let investment tips and information. Alternatively, you may want to read some of our buy-to-let city guides to find good-value areas that suit your investment goals.
Some of these guides include:
