A Tale of Two Thanet Property Markets: Why Realistic Pricing is Key as Available Homes Double Since 2022

The Dynamics of Thanet’s Property Market (2019–2024)

The Thanet property market has undergone significant changes over the past few years, as depicted in the two graphs provided. These visualisations capture the trends in the number of properties available for sale and the number of properties sold subject to contract (SSTC) from January 2019 to July 2024. By analysing these graphs, we can gain insight into the evolving dynamics of the local property market and the necessity for Thanet homeowners to adopt realistic pricing strategies, especially given the doubling of available homes since mid-2022.

A Closer Look at the Thanet Market Dynamics (2019-2024)

From January 2019 through to February 2020, the number of properties for sale in Thanet remained relatively stable, averaging 2,422 homes. This pre-COVID period showed a balanced market with an average of 280 home sales per month, indicating that supply and demand were well-matched during this time.

The Pandemic’s Impact on Sales

The onset of the COVID-19 pandemic in late March 2020 caused a sharp decline in property sales, with April and May seeing significant drops due to uncertainty. However, the market rebounded once the lockdown lifted in May/June 2020. Thanet saw a surge in home sales, with an average of 356 homes selling per month between May 2020 and December 2021.

The Truss Budget and Rising Interest Rates

The Thanet market took a hit following the "Truss Budget" in late 2022, with home sales dropping to an average of 179 per month. While sales began to recover in early 2023, the summer of 2023 saw another dip to 216 homes per month due to rising interest rates. Since January 2024, the number of homes selling has stabilised at around 267 per month.

Growing Supply of Homes for Sale

As of August 2024, the number of homes for sale in Thanet has risen to 2,865, nearly double the figures from mid-2022. This increase in supply could be attributed to high property prices, more new builds, and properties being relisted after failing to sell.

Percentage Proportions: Thanet vs. UK Trends

The second graph compares the proportion of monthly homes sold relative to the number of properties available. The yellow line represents the percentage of Thanet homes sold SSTC each month, while the red line shows the same figures for the entire UK.

What Does It Mean for Thanet Homeowners?

With the number of available homes having doubled since mid-2022, competition is fierce. Thanet homeowners looking to sell must ensure their properties are competitively priced to attract buyers. Overpricing in a market with abundant options could result in homes sitting unsold for longer, reducing the chance of a successful sale.

The Importance of Realistic Pricing

Realistic pricing is key to securing a sale in today’s competitive market. Homes priced correctly have a much higher chance of selling quickly and successfully, while overpriced properties may languish on the market. Data shows that homes selling within 25 days have a 94% chance of reaching completion, whereas those on the market for over 100 days see their completion chances drop to 56%.

Conclusion: Strategic Selling in a Shifting Market

Thanet homeowners must pay close attention to market dynamics and price their homes realistically to achieve successful sales. As supply continues to rise, competition will remain strong, making strategic pricing more crucial than ever. Contact us at Cooke & Co for a free valuation and guidance on navigating this evolving market.

About Cooke & Co