Cheltenham property market update
Top-quality schooling has helped to insulate the Cheltenham townhouse market from
the worst of the downturn - consequently demand remains exceptionally strong. Properties
in attractive villages within a five-mile radius of the town are also keenly sought
after and will sell quickly if appropriately priced.
For a relatively small town Cheltenham certainly punches above its weight in terms
of the quality of the housing stock and the amenities on offer. An attractive package
of social, cultural, schools and sporting activities continues to draw buyers from
London and further afield.
Many people who buy through Knight Frank estate agents in Cheltenham are looking
for a classic Regency or Victorian townhouse, or apartment in prime areas like Montpellier,
The Park, Pittville and Christchurch.
These areas remain extremely popular due to their close proximity to excellent schools
such as Cheltenham College, Dean Close, Cheltenham Ladies College, as well as Pates,
a co-educational grammar school.
The problem for buyers is that the supply of these types of houses for sale is always limited and the current general
malaise from uncertain vendors is only exacerbating the trend. People are not selling
unless they have to, despite prices in Cheltenham only falling back by around 15%
compared with 20-25% in other parts of the country.
Market Update Spring 2011
2010 was a fascinating year for the UK housing market, with major events such as
the General Election and Public Spending Review making for a pretty turbulent twelve
months. This made it increasingly difficult to keep track of prices as activity
levels rose and fell dramatically throughout the year.
Cheltenham whilst not immune to the effects of the wider market appeared once again
to be fairly resilient and the continuing lack of new stock seemed to uphold prices
remarkably well.
We are now in a position to look forward to 2011 with the New Year hangover committed
to memory and a long and arduous January behind us, we look to the spring with a
sense of optimism and excitement.
There will without doubt be further challenges to face; we are already acutely aware
that the cost of living is increasing with inflation at 4%, helped along by the
hike in VAT and spiralling fuel prices. It is therefore almost certain that we will
see interest rate rises and rising unemployment.
The early signs however are very positive; buyers have come out early and the number
of new applicants registering is up over 70% compared to the same period last year.
We feel certain that this is in part down to buyers wanting to get on and buy in
an attempt to take advantage of fixed rate mortgage deals whilst they last. At the
time of writing Knight Frank Finance are able to secure a 2 year fixed rate at just
3.55%! It is more than likely that these deals will be impossible to find later
in the year.
The greatest problem facing the market at the moment is still the lack of available
property to buy; this bodes well if you are a potential seller. Having agreed four
deals in the last week on properties which have come to the market since the turn
of the year, there is proof that quality homes will sell well and waiting until
the traditionally strong spring/summer market is not necessarily prudent.
Knight Frank Cheltenham remains committed to offering the very best personalised
service to our clients. Coupled with unrivalled local, regional and national coverage
we believe we are best placed to advice, market and sell your home. We don’t believe
that 2011 will be easy but Knight Frank has always done well in more challenging
market conditions when clients want the best advice and to instruct the organisation
they trust and believe can deliver.
If you are considering a move or indeed would like any property related advice please
contact us on 01242 246959 to arrange an appointment.