Premium Property Market Update - with tips to sell that you might not have considered before
How did the premium property market fair in 2023, and what does this mean for the year ahead?
Firstly, I hope you had a great Christmas and Happy New Year (I always think this can be said up to my birthday on 19th January).
January seems interminable, particularly when friends are doing dry January or have no money until payday. As we move into February, I hope to bring an exciting present to start the year by highlighting just how much opportunity there is in the premium market in 2024.
Here is how the premium property market in 2023 compared to recent years:
1. New listings were up by 6.28% in 2022 and 23.59% up on the five-year average of 2019-2023.
2. There was a 21.78% increase in the number of price reductions in 2022, and this was also 16.93% higher than the five-year average.
3. Sales agreed were 18.52% down on 2022 and 16.86% down on the five-year average.
Looking at this data showed me that the premium market is growing in terms of new listings, and with price reductions on the rise and the number of sales being agreed taking a hit, this shows an increase in properties that might be finding it more challenging to sell.
As a result, there was a clear rise in sellers changing estate agents in 2023 or withdrawing from the market altogether as conditions got tougher.
In my last year as an operating estate agent, 38.37% of my sales came from sellers who had failed to sell with another estate agent.
But, if you are considering changing agents, how can you be sure you will fare better with someone else? By now, you are very motivated to sell and don't want to jump from the frying pan into the fire.
Make sure that your new agent can offer these additional methods as part of their marketing strategy to assist in finding a buyer for your home.
1. Mobile Optimisation - Over 70% of Rightmove traffic is on a mobile device, so your property listing will be seen by more buyers if it is maximised for a phone or tablet as opposed to a desktop.
2. Video Tours - According to Rightmove, 66% of listings do not have a video or virtual tour, which seems to be the case with properties at the higher end of the market. Quite shocking, really, when you consider that premium properties are often unique and larger than an average home, so you would benefit significantly from a video tour to showcase all the property has to offer.
Rightmove says a listing with a video/virtual tour receives, on average, 8% more views and 6% more leads than those without.
3. Detailed Floor Plans - Make sure that your property listing has a floor plan. 37% of buyers say they would not even enquire about a property without a floor plan. This could mean that if you are advertising your property without a floor plan, you are missing out on a huge number of potential viewings. Rightmove data shows having a floorplan increases leads by 12%. The floor plan should include all the measurements of the house, overall square footage, and any outbuildings and stables that your property may have. The overall plot and any land should also be clearly displayed on the listing so potential buyers can see clearly what your property offers.
4. Strategic Pricing - Ensure the asking price aligns with the correct pricing brackets to attract a broader audience. If you list your property slightly above or below a bracket, you are missing out on all potential buyers who only search up to or from the bracket price. For example, if you were to advertise your property at £999,000, your property would not be shown to any buyer that starts their search from £1m.
Take a close look at your property marketing; you may see options available for you that your current agent has not yet considered.
To discuss your sale in further detail, get in touch with your By Design agent.
Thank you for reading, and here's to a prosperous 2024 in the premium property market!
Simon Gates
