5.7% Drop in the Peterborough Property Market
The number of residential property transactions in Peterborough will be 5.7 per cent lower in 2018, compared to 2017.
According to my research, the seasonally adjusted statistics for our local authority area suggest with the number of properties already sold in 2018, and the number of properties currently under offer or sold subject to contract (allowing for property sales to fall through before exchange of contracts) we, as an area, will end the year 5.73 per cent lower compared to 2017.
So why are transaction numbers so important to Peterborough homeowners, Peterborough landlords and potential first-time buyers?
Many economists and property market commentators believe transaction numbers give a more precise and truthful indicator of the health of the property market than just house values. In the six years before the Credit Crunch in 2007/8, the average number of completed property transactions in the local area (the local authority covered by Peterborough) stood at 4,740 per year .. yet in the three years following the Credit Crunch, on average, only 2,016 homes were changing hands per year in the area.
Roll the clock forward to more recent times and last year, in 2017, 3,361 homes changed hands (i.e. transacted and sold) in the area, not far off the local authority’s 23 year overall average of 3,459 homes per year.