House prices 2020: How to check the value of your house
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The housing market had its busiest month in more than a decade in July with the traditional summer lull replaced by a rush of buyers and sellers expressing their interest according to Rightmove. New data from estate agents Knight Frank revealed there is a high demand for so-called prime property. But how can you check the value of your house?
UK property sales improved by 61 percent in the week ending August 16 compared to the same week last year according to new research from Knight Frank.
The research showed the biggest increase since the easing of lockdown measures was in the prime market, which is defined as the top five percent most valuable properties.
This pattern follows the trend seen in the aftermath of the 2008 financial crisis, where the most expensive homes were the quickest to kickstart the property market once again.
Head of residential development research at Knight Frank Oliver Knight said the signs of a strong rebound reflect the “ongoing release of pent-up demand” after stricter lockdown measures earlier this year led to a drastic fall in market activity.
In London, accepted offers were up 68 percent in the week ending on August 16.
The rebounding of the market over the typically slow period has been attributed in part to the stamp duty holiday initiative launched by the Government which is in placed until March 2021.
House prices figures from the Nationwide Building Society show that house prices were 1.7 percent higher in July compared to last year.
This was despite the economy shrinking by 20.4 percent in the three months to the end of June.
The UK economy is now officially in recession meaning savings rates have hit record lows.
This means investment into savings accounts are an unappetising proposition for investors, instead many are considering stocks and property instead.
History suggests stock markets tend to rise faster than house prices after a recession but from a lower base.
Investors who put their money into stock markets during a recession, when prices are low, have a better chance of making a return than people buying property, as house prices tend to recover more slowly and less sharply.
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How to check the value of your house
If you are looking to sell your home or even just to check its value, you can do it in one of the following ways:
- Checking other similar house prices
- Checking market trends
- Finding an agent to value your home
- Get an online estimate from a property website.
You can check sold house prices near you which can be found on the Land Registry and the Registers of Scotland can help to provide estimates for homes in certain locations.
Market trends for property in your area can also help to provide insight into the market in your area.
You can find market trends information on property websites such as Rightmove here.
An agent valuation is the process of an agent inspecting your house to assess its current value.
The agent visits the property to undertake an inspection and use local market knowledge to provide an estimated value for the property.
The agent can suggest the highest price they believe your home could fetch.
Property experts advise approaching two or three agents and remember a seller is not bound to use any in particular.
Several online valuation tools can be found online.
To use these tools you often only need your postcode, the property’s age and how many bedrooms it has.
The platforms use algorithms to provide a valuation of your house.
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