Harborne and Edgbaston November Market Update

We are now a third of the way through the last quarter of the year, and economic and political factors are influencing the UK property market in significant ways.  
October 2024 saw notable developments, with a rise in new property listings and buyer activity despite a challenging economic backdrop. This blog examines the latest data for the local housing market, focusing on Edgbaston (B15) and Harborne (B17), comparing trends and exploring the positive outlook for the property market amid the impending budget announcements.

Edgbaston (B15) Property Market Overview  
In Edgbaston, the property market showcased its appeal to higher-end buyers. October 2024 recorded 81 properties for sale in B15, with an average asking price of £992,332 and an average price per square foot of £611 (up 14% from £534 in September 2024). This represents an increase in new listings by 78% compared to last year, where there were only 46 properties on the market, with a lower average asking price of £798,772—a 24% increase from 2023’s asking prices.

Sales agreed in B15 also rose, with 11 properties sold this October at an average price of £620,748, up from the 6 sales in October 2023. This increase in activity suggests a renewed seller interest and buyer confidence in Edgbaston, particularly among those seeking premium properties.

Completed sales over the last 12 months

Harborne (B17) Property Market Overview  
The Harborne (B17) market, in contrast, offered a more affordable entry point with 282 properties listed in October 2024 at an average asking price of £374,468, a 15% increase from £324,588 in October 2023, at £356 per square foot, up 13% from £316. While Harborne saw a decline in properties sold compared to the previous October (31 vs. 48), the area's market remains steady, with 53 new listings this month, up 18% from 45 in October 2023.

Sales agreed averaged £417,581, indicating a stable demand for properties in this popular Birmingham suburb. With Harborne’s diverse property types and price range, the area continues to attract a wide array of buyers, maintaining its resilience despite economic challenges and the changing political landscape with the new government in place and Autumn budget fallout.

Completed sales over the last 12 months

Buyer Confidence in the Face of Economic Challenges  
October saw an 8% increase in sales agreed from September, marking a substantial 32% rise from October 2023. This is noteworthy, as last October faced economic headwinds with high inflation and interest rates peaking. October 2024, by contrast, has benefited from improved economic conditions, including lower inflation, decreased interest rates, and strong wage growth.

These factors have revived buyer interest, leading to the highest October sales numbers in six years, showing that consumer confidence is returning.

Relisted Properties and Withdrawals  
October 2024 data reveals a trend of sellers re-entering the market after previously testing it, reflecting renewed seller optimism. Withdrawals of properties from the market also dropped in comparison to October 2023, further underscoring the positive sentiment. This willingness to re-enter the market, despite the uncertainty surrounding the budget, demonstrates that sellers feel confident about the value and demand for their properties.

Impact of Mortgage Approvals and the Budget on Market Dynamics  
Mortgage approvals, which serve as a forward indicator of future transactions, increased for the fourth consecutive month in September, showing a 51.5% increase from the previous year. This jump in mortgage approvals signals ongoing market activity, even if interest rates are not as low as they were in recent years.  
Buyers seem prepared to enter the market at current rates, supporting the view that the property market is stable, in the face of changing economic and political landscapes.

A Positive Outlook  
October 2024 has shown that, despite concerns about the economy and the impact of the budget, the UK property market remains resilient. The increased number of new listings, stable asking prices, and growing buyer activity illustrate a balanced and confident market. This optimism is further supported by rising mortgage approvals, indicating a solid foundation for market growth as we move toward 2025.

If you're planning to move in early 2025, now is the time to pre-plan with a market appraisal. Contact us at 0121 5170251 or movinghome@mchugohomes.co.uk to discuss the impact of prevailing market conditions on you and your home. Visit mchugohomes.co.uk/value-my-property to get started.