Harborne and Edgbaston Property Market Update

What has the first 100 days of a new government meant for the property market?

As we move toward the close of 2024, the property market continues to evolve, with Q3 providing important insights into the state of the market in Edgbaston (B15) and Harborne (B17). Whether you are a buyer or seller, understanding these trends is critical to making informed decisions. In this update, we’ll explore the data from property platforms and what it means for the current landscape.

Edgbaston (B15) Market Snapshot
The Edgbaston property market has shown some intriguing developments in Q3 2024, with increased activity across several key metrics:

Properties (houses only) for Sale and New Listings: There were 72 properties for sale in B15 during Q3 2024, up from 63 in Q2. New listings also increased to 37, a 60.9% rise compared to 23 in Q3 2023 (more supply available now).

Asking Prices: The average asking price per square foot reached £486, a noticeable 9.5% increase from £444 in Q3 2023. However, the price per square foot for sales agreed dropped to £384, compared to £450 in the same period last year.

Sales Agreed: Sales remained steady with 15 properties sold in both Q3 2024 and Q3 2023, although there was a decline in the average sale price, which fell to £648,667 compared to £860,275 last year.

Price Reductions and Withdrawals: The number of price changes rose to 21 in Q3 2024, a substantial jump from 15 in Q3 2023, highlighting increased seller competition. Withdrawn properties also rose to 15 this quarter, reflecting heightened caution among buyers.

The average asking price per square foot has surged by 9.5% year-on-year, but the slight drop in the average sale price signals that buyers are being more selective, driving longer negotiations.

Harborne (B17) Market Overview
The Harborne market, while also showing increased activity, presents a slightly different picture:

Properties for Sale and New Listings: With 280 properties for sale in Q3 2024, Harborne continues to offer a high level of buyer choice. The number of new listings hit 179, a 7% increase compared to the 166 new listings in Q3 2023.

Asking Prices: The average asking price per square foot in Harborne grew to £370 in Q3 2024, up from £357 last year. For sales agreed, the average price per square foot slightly decreased to £329, from £347 in Q3 2023.

Sales Agreed: Sales agreed rose to 116, up from 112 last year, indicating a relatively healthy level of buyer activity despite the slight dip in sale prices. The average sale price in Q3 2024 was £351,804, a reduction of 4.3% from £367,799 in the same period last year.

Price Reductions and Withdrawals: The number of price reductions fell to 89 compared to 123 in Q3 2023, showing more vendor resolve. Withdrawn listings also dropped to 71, down from 91 last year, indicating more realistic pricing strategies and greater commitment from sellers in a competitive market.

The softer growth in asking prices compared to sales agreed, paired with lower fall-throughs, suggests that sellers in Harborne are keeping faith with the transactional process.

Increasing Competition and Buyer Demand
Both Edgbaston and Harborne have seen increased competition in Q3 2024. In Edgbaston, the number of properties for sale surged by 76%, from 41 in Q3 2023 to 72 this quarter. Similarly, Harborne saw a slight decrease in properties for sale, but the number of new listings grew, providing buyers with more options.

This uptick in supply has led to more competitive pricing, with 18% of properties in the two areas reducing their asking prices by 5% or more. As a result, sellers face more competition, and it is crucial to position properties at the right price from the start to avoid prolonged marketing times and potential fall-throughs.

Price Reductions and Fall-Throughs
Price reductions and sales fall-throughs remain a challenge, particularly in Edgbaston. In Q3 2024, 21 properties in Edgbaston underwent price reductions, compared to 15 last year. Withdrawn listings also increased, indicating that many sellers are not meeting buyer expectations.

Harborne, however, saw a reduction in both price changes and fall-throughs. The number of fall-throughs dropped to 24 from 34 in Q3 2023, signalling greater market stability, but competition remains fierce.

Looking Forward – What This Means for Buyers and Sellers
While both markets have experienced increased activity, buyer caution remains evident, particularly in Edgbaston, where sale prices have dropped despite higher asking prices. Sellers should remain realistic in their pricing strategies to avoid lengthy sale processes.

On the other hand, buyers may benefit from the increased supply and negotiating power, but should still be prepared for price fluctuations depending on the property's condition and location.

Conclusion
The Edgbaston and Harborne property markets present a mixed picture in Q3 2024. Increased supply, combined with price reductions and fall-throughs, highlights the importance of competitive pricing for sellers. Despite these challenges, buyer demand remains strong, with transaction levels holding steady in both areas. As we move into the final quarter of 2024, and a potential post-budget fallout, a balanced approach to pricing will be key to securing successful transactions.

If you're considering selling your property or would like to know its current market value in prevailing conditions, McHugo Homes offers a free, no-obligation market appraisal. Visit mchugohomes.co.uk or contact us at movinghome@mchugohomes.co.uk for more information.