Well.. what a topsy turvy year 2020 was… After a very buoyant 2019 and media talks at the start of 2020 with a no-deal Brexit looming, property prices were predicted by many economists to fall but by how much nobody really knew.
As we went into 2020 through January and February prices in Poole, Bournemouth and Christchurch remained strong with lots of activity and the usual start of the year bubble taking shape until Covid19 promptly put the brakes on grinding everything to a halt. It was a gamble at this point for those buying properties to continue or walk away. For those who stuck then the rewards come through.
Unfortunately for so many with mortgage lenders revising lending criteria with some not taking into account furlough pay and abolishing 10% mortgages many sales fell by the wayside.
When the market could reopen in mid-May and with the announcement of the stamp duty break until March 2021 there was an influx of eager homeowners looking to move where they realised they either needed more, less or even some outside space. Properties came flooding onto the market through the summer months with homeowners up and downsizing. Buy to let investors came out of the woodwork and there seemed to be a surge in homeowners relocating or buying second homes in Bournemouth and Poole.
Overall, from December 2019 to December 2020 prices across BCP rose by 3% according to Rightmove sources.
Bournemouth had an overall average property price of £294,637 with the majority of sales in the past year being flats for an average of £209,675, detached properties for £405,903 and semi-detached homes averaging £293,382.
Christchurch had an overall average property price of £397,959 with the majority of sales coming from detached properties for £489,216 and semi-detached homes for £339,438.
Poole had an overall average property price of £380,428 with the majority of sales again coming from detached properties for £528,377, semi-detached homes for £296,676 and flats fetching £306,394.
First-time buyers spent an average of £231,000 on their first home, £5,100 more than this time last year.
Unsurprisingly with the stamp duty holiday, 49.8% of transactions were between £300,000 to £500,000 whereby new and existing homeowners took full advantage of the government reductions. With an average property price across BCP of £357,654 moving before March 2021 means a saving of over £7800 in stamp duty. That’s a new kitchen or bathroom!
To conclude, to have a growth of 3% across Bournemouth, Poole and Christchurch has been a fantastic result. We can hope that the property market continues to grow into 2021.
Co-Founder of Modern Listings
Tel: 01202 113073