What Happened to the UK Housing Market in June 2024?

In June 2024, the UK housing market demonstrated a continued resilience amid fluctuating economic conditions. According to various sources, including Zoopla and Hometrack, there has been a noticeable recovery in house prices and sales activities, reflecting a cautiously optimistic outlook among buyers and sellers.

House prices in the UK have experienced modest growth, with a notable increase in buyer demand particularly in urban and suburban areas. The demand for flats has surged, influenced by the reopening of offices and the perceived value offered by these properties. 

Zoopla reports that the overall UK house price index remained largely unchanged over the last 12 months, with regional variations where some areas are witnessing price inflation while others, particularly in southern England, are seeing a more subdued performance. The platform indicates a trend of sellers achieving closer to their asking prices due to tightened market conditions and a slight increase in sales activities.

The market’s resilience is further supported by a robust sales pipeline, with a significant proportion of projected sales for 2024 either completed or currently in progress. This indicates that despite higher borrowing costs, which have tempered the buying power of new buyers, the market dynamics have adjusted, avoiding significant price falls​.

Overall, while the UK property market faces challenges from higher interest rates and cost of living pressures, the underlying data suggests a steady path to recovery with regions and property types adjusting differently. This nuanced recovery underscores the importance for buyers and sellers to stay informed and consider both regional and property-type specific trends when making decisions.

What Happened in the UK Rental Market in June 2024?

In June 2024, the UK rental market observed a notable escalation in rental costs, with the average rent rising to £1,423 per calendar month. This surge represents a significant uptick from the previous months, indicative of the robust demand that continues to define the market landscape across various regions. The average rental price escalation mirrors the broader trend seen over the year, marking a stark increase compared to the earlier months.

The supply of available rental properties has slightly diminished, signalling a competitive environment where the speed of transactions becomes crucial for tenants aiming to secure their preferred properties. This decrease in availability is aligned with an increase in rental prices, suggesting a market where demand consistently outstrips supply, leading to rapid turnovers and a marketplace that benefits from quick decision-making.

According to data from Zoopla, these trends are not isolated but part of a broader pattern observed throughout 2024. For instance, annual rent inflation has been steadily rising, with a marked increase of over 6% compared to the same period in the previous year. This ongoing rise in rents highlights the sustained demand and the upward pressure on rental prices across England​.

Such dynamics in the rental market underscore the continued growth and the challenges facing tenants who are encountering rising costs. For landlords, the current market conditions present an opportunity to secure rental yields at a higher rate, albeit within the competitive framework that requires keeping properties attractive and well-maintained to capture tenant interest quickly.

Overall, the UK rental market in June 2024 has shown resilience and growth, driven by strong demand and a tightening supply of rental properties. These factors combine to shape a rental landscape where both pricing and availability are key drivers of market behaviour.

What Happened to Cornish Property Prices in June 2024?

In June 2024, Cornwall’s property prices remained relatively stable, with the average house price for properties purchased with a mortgage staying consistent at £297,000 compared to the previous year. This stability in Cornwall’s housing prices reflects broader trends across the South West, where there was a slight increase in average prices​ (ONS).

Despite this overall stability, there were some regional variations within Cornwall itself, as seen in different parts of the county experiencing subtle differences in price adjustments based on local demand and supply dynamics. The market demonstrated resilience, maintaining price levels even amidst broader economic fluctuations and the ongoing adjustments in the UK’s real estate market​ (Office for National Statistics).

This consistent pricing suggests a balanced market in Cornwall, where supply and demand are relatively in equilibrium, preventing significant fluctuations in property values.

What Happened to the Cornwall Rental Market in June 2024?

Let’s take a closer look at what is happening in the lettings market in Cornwall during June 2024. By regularly examining the facts and data, we provide valuable insights to landlords and tenants, helping you make informed decisions in the ever-changing Cornish rental property market. 

From last month, we started using a different source for some of the data so it may look quite different from previous reports. We will use the information provided by Home.co.uk moving forward, which, we hope will give a broader picture of the whole market locally and not just the information Rightmove provides. 

As their website explains: “Established in 1996, Home.co.uk has used search engine technology to build and maintain the most comprehensive database of UK residential properties advertised for sale and rent on the Internet.”

Here are the key insights from June 2024:

There are currently 345 properties available to rent in Cornwall. Last month, there were 346, with 342 available in April. June’s figure represents a decrease from 384 in March and 388 in February. Additionally, 117 new properties have become available in the last 14 days.

The average property rent is £1,423 per calendar month (pcm). This is up compared to last month, when it was £1,252 and is the highest average we’ve seen in six months. With it being such a big jump, it’s possible that one or two higher rent range properties have become available in the last four weeks. There are currently nine properties available in Cornwall that have an asking rent price of over £5,000 pcm.

This data indicates a stable yet competitive rental market in Cornwall, with slight fluctuations in the number of available properties and average rent prices. For prospective tenants, it highlights the importance of acting quickly when new properties become available, while landlords can expect sustained demand for their rental properties.

By continuously monitoring these trends, we aim to keep you well-informed about the Cornish rental market, ensuring that you can navigate it effectively whether you are renting out your property or looking for a new home.

Here is a table to compare the six months prior:

Average Property Rent in Cornwall

Focus on the Helston Rental Market

Let’s take a closer look at the rental market in Helston this month. 

There are currently seven properties available for rent in Helston, two of which are new to the market as of the last 2 weeks.

The average property rent in Helston is £914 pcm. Six of the properties available are in the £500 – £1,000 price range. One is available that is in the £1,000 – £2,000. 

Most of the properties available are houses (4) with an average rent of £1,036 pcm. There are also three flats available with an average rent of £750.

Cornwall Council plans to purchase 50 two and three-bedroom homes to provide housing for homeless families, aiming to reduce costs associated with emergency accommodation in B&Bs, hotels, and caravan parks. Helston is one of the areas earmarked for the purchases, according to Cornwall Live.

The Conservative Cabinet’s decision on 12 June 2024 authorised the acquisition of both new builds and properties less than ten years old. These homes will serve as temporary accommodation for Cornish residents who are currently without a permanent home.

Earlier this year, the council reported approximately 800 families residing in emergency accommodations across Cornwall. Olly Monk, the council’s portfolio holder for housing, emphasised the growing number of individuals facing homelessness due to rental instability, stating a commitment to increasing the council’s housing stock through construction and acquisition efforts.

That’s all for this month’s market report so if you’re looking for any further information about the Cornish property market, please feel free to contact us. 

If you’re thinking of buying, selling, letting or renting property in the county, please don’t hesitate to get in touch. You can call 01326 331812 or email hello@llcoproperty.com.