Latest Property News - Skitts Estate Agents

Details: Published: 24 March 2025

Why Do New Builds Cost More?

At first glance, the price difference between a new build home and an existing property might seem to be down to personal preference. Some buyers (and tenants) prefer a new home's fresh, modern feel, while others favour the character and reliability of a property that has stood the test of time. But is there more to it than taste?

Looking at the average price paid for existing (second-hand) homes versus new build properties in Wolverhampton since 1996, a clear trend emerges: new build homes command a significant premium.

Between 1996 and 2008, the average newly built home sold for £30,231 more than an existing Wolverhampton home.
Yet, between 2008 and 2013, the average newly built home sold for £7,185 less than an existing Wolverhampton home.
Since 2013, the average newly built home has sold for £44,039 more than an existing Wolverhampton home.

Over the past 29 years, the average ‘new build premium’—the additional amount buyers pay for a newly built home compared to a second-hand one—has been 35.2%. However, if we look at the last 10 years, that is 29.9%.

The ‘new build premium’ refers to the additional price buyers pay for a newly constructed home compared to a similar second-hand property. Factors such as modern design, energy efficiency, and developer incentives contribute to this price gap. However, the premium fluctuates with market conditions—rising in a strong market when demand is high and shrinking in tougher times when buyers have more negotiating power. Understanding this trend can help buyers and investors make more informed decisions about when and what to buy.

The Numbers Behind the Premium

Using the latest data up to the end of 2023, the difference in the average price paid for a new home versus the average price paid for an existing home continues to highlight a consistent premium. Overall, it’s my experience that the premium for new detached and semi-detached homes is in the order of 10% to 20%, while apartments can be much higher than that. As always, there are exceptions to the rule.

Why Do Buyers Pay More for a New Build?

Many buyers are willing to pay a premium for a new build, despite the perception that they are overpriced. One key reason is personalisation—new homes can be tailored to suit individual needs, lifestyles, and furniture choices. Additionally, they require less maintenance than older properties and often come with a builder’s guarantee, providing peace of mind against unexpected issues. With no need for immediate refurbishment or repainting, moving in is a hassle-free experience.

Another major factor is energy efficiency. Older homes tend to have poor insulation and higher running costs, whereas modern builds are designed to be more energy-efficient, helping to reduce household bills. In recent years, as energy costs have risen, efficiency has become a top priority for many buyers, alongside location and lifestyle.

The Property Market Factor: Boom vs. Bust

One of the most revealing insights from the data is how the ‘new build premium’ fluctuates with the property market cycle:

In a strong, buoyant market, the premium tends to increase as buyers compete for new stock, and developers’ prices increase accordingly.
The premium shrinks in a slower, more challenging market, offering better value for those looking to buy new.
Nationally, the premium was higher before the global financial crash (2008/9) compared to afterwards.

This means that if budget is the primary concern, timing is crucial. Purchasing a newly built home in a softer market could be a smarter financial move than in a property boom.

The Reality of Comparing Like for Like Homes

It’s important to acknowledge that comparing new build and second-hand Wolverhampton homes isn't always straightforward. Unlike cars, where a brand-new vehicle and a low-mileage second-hand version can be directly compared, housing has more variables at play—location, build quality, developer reputation, and even incentives like part exchange or stamp duty contributions.

By their very nature, the type of Wolverhampton homes that have been built as brand new homes in one year could be completely different from the existing Wolverhampton homes that are being sold. Also, for every new home sold in a year, the number of existing homes is in the region of five to seven depending on the location.

Therefore, a perfect like for like comparison would require identical properties, side by side, in the same condition—a scenario that rarely exists. This complexity means that while the premium is a useful benchmark, it should be taken with a pinch of salt and your individual circumstances always play a role.

Final Thoughts

Should you pay the premium for a new build? It depends on your priorities. The extra cost might be worth it if you value a pristine Wolverhampton home with the latest design and efficiency standards. However, if maximising value is your goal, buying second hand—or timing your purchase of a brand new home in a weaker market—could be the better move.

Details: Published: 20 March 2025

The Government has taken a significant step towards abolishing leasehold properties in England and Wales, introducing a white paper that proposes making commonhold the default tenure for flats and apartments. The reforms, which aim to phase out leasehold for the 4,006,038 English & Welsh leasehold homes, have been described as the "beginning of the end" for a system often criticised as outdated and unfair. But what does this mean for Wolverhampton homeowners and buy-to-let landlords, particularly those looking to sell in the coming years?

In this article, we’ll explore the proposed changes, the benefits and drawbacks of commonhold, and what Wolverhampton flat owners should consider as the transition unfolds.

Details: Published: 17 March 2025

Buying or selling a home is often one of the most significant transactions people make, yet the process in England and Wales remains frustratingly slow. You find the home of your dreams, you make an offer, it is negotiated, and a price is agreed. Yet once a sale is agreed, it takes an average of 118 days—nearly 17 weeks—for legal completion to take place for a home in the UK. That’s more than four months of uncertainty, stress, and potential financial risk for buyers and sellers alike.

To put that into perspective, the same process took just over 10 weeks in 2007 and 7 to 8 weeks in the 1990s. The delays have continued to worsen over time, making the system feel increasingly outdated in an era where digital solutions should be making things faster, not slower.

Also, don’t forget nearly 1 in 4 (23.94%) UK homes that have a sale agreed (Sold STC) fall through before legal exchange of contracts and completion on them.

The Key Causes of Delays

Several factors contribute to the sluggish pace of property transactions. Some of these issues are systemic, while others stem from choices made by buyers, sellers, or their representatives. Understanding them is the first step to minimising delays.

The Outdated Conveyancing Process

The legal process of transferring ownership—conveyancing—remains one of the biggest obstacles. Unlike in Scotland, where much of the work is done before an offer is accepted, in England and Wales, the process only begins after a sale is agreed. This means vital information is often not gathered until weeks, or even months, into the process.

The time between pre-contract enquiries and receiving replies has more than doubled since 2007, rising from just under four weeks to nearly nine weeks. Despite improvements in technology, the process remains complex and fragmented, with no signs of timelines decreasing.

Solicitor Workloads and Efficiency

The legal professionals handling transactions often work with high caseloads, balancing multiple sales at once. Many firms operate on tight margins, which leads to overworked conveyancers who can struggle to provide the level of service buyers and sellers expect. Delays in responding to enquiries or missing paperwork can add weeks to the process.

Mortgage processing times have also worsened. It now takes nearly nine weeks from instructing a conveyancer to receiving a mortgage offer—up from approximately five weeks in 2017.

Chain Dependencies

Property chains remain one of the most fragile elements of the buying process. A single delay anywhere along the chain can ripple outward, derailing multiple transactions. When one party pulls out, the entire process collapses, forcing sellers and buyers to start again.

The average time for sales instruction to exchange has increased significantly, almost doubling from just over 10 weeks (71 days) in 2007 to nearly 17 weeks (118 days) today.

The lone bright spot for conveyancing is the search process, which has become more efficient, reducing from just over two weeks to approximately one and a half weeks. However, this is of little consolation when nearly every other part of the process has slowed down.

Changing Market Conditions

Longer transaction times increase the risk that a buyer’s or seller’s circumstances change before completion. Mortgage offers expire, interest rates shift, job relocations happen—all of which can lead to deals falling apart. Gazumping (where a seller accepts a higher offer after initially agreeing to a sale) and gazundering (where a buyer lowers their offer at the last minute) are also far more likely in a drawn-out process.

How Long Does it Take to Do Sales Conveyancing in Wolverhampton?

Well before we answer that, it’s currently taking 78 days (just over 11 weeks) on average to find a buyer for a Wolverhampton home (national average is 74 days).

Once a sale is agreed, it takes 121 days in Wolverhampton to get a sale to completion.

Interestingly, when we look at the conveyancing depending on type of property, Wolverhampton flats are taking 131 days, Wolverhampton houses 119 days and Wolverhampton bungalows 134 days. These are all in line with national averages.

How to Speed Up the Sales Process

While structural reform of the system is long overdue, there are several steps buyers and sellers can take to reduce their own risk of getting stuck in limbo.

Gather Information Upfront

Wolverhampton sellers can dramatically speed up the process by preparing key documents as they start to market their property. This includes:

Ordering local authority searches from City of Wolverhampton Council when the home goes on the market.
Completing your Property Information Form and Fixtures and Fittings List.
Gathering any necessary guarantees, warranties, and building regulation approvals.

While this does involve a small upfront cost, it can prevent delays and strengthen a seller’s position, particularly if multiple buyers are interested.

Choose a Proactive Wolverhampton Solicitor

Not all Wolverhampton solicitors operate at the same speed. Wolverhampton buyers and sellers should choose a legal professional based on efficiency, not just price. Online reviews and recommendations from experienced estate agents like me can be helpful in identifying firms that handle transactions efficiently and promptly.

A proactive solicitor who requests documents in advance, keeps communication clear, and follows up on outstanding tasks without being chased can shave weeks off the process. If you need the details of whom I consider the best solicitors for conveyancing in Wolverhampton, drop me a line.

Tailor the Selling Strategy for your Wolverhampton home

Not all Wolverhampton homes should be sold in the same way. Traditional estate agency works well for most residential properties, but if speed is a priority, alternatives such as traditional auctions or the new ‘modern method of auction’ may be worth considering. Auction transactions complete much faster and eliminate the uncertainty of a long, drawn-out conveyancing process.

Sellers must weigh up whether achieving the highest possible price is worth months of additional holding costs, mortgage payments, and risk of fall-throughs.

Looking to the Future

The length of time it takes to buy and sell a home in Wolverhampton is a persistent problem, one that has worsened over the years. While there is no quick fix, those who take a proactive approach—by preparing early, choosing the right professionals, and considering alternative selling strategies—can significantly reduce the risk of delays and failed transactions.

Until wider reforms are introduced, taking control of the process is the best way to avoid months of uncertainty. Whether buying or selling, being prepared and making informed choices will always yield better results.

For those in Wolverhampton navigating the property market, local expertise and proactive planning can make all the difference in achieving a smooth and successful transaction. Feel free to call us and discuss the matters in this post without any obligation or cost.

Details: Published: 01 March 2025

Is the Wolverhampton Property Market a Buyers’ or Sellers’ Market?

Are you a Wolverhampton homeowner considering a move in the next six to twelve months? Perhaps you're a buy-to-let landlord weighing up whether to expand or streamline your portfolio? Or maybe you’re a first-time buyer wondering if now is the right moment to take the plunge?

Whatever your position, knowing whether the Wolverhampton market is currently favouring buyers or sellers will help you make informed decisions.

For those who regularly follow our Wolverhampton property market updates, you'll know that the best way to measure whether we are in a buyers', balanced, or sellers' market is to analyse the proportion of properties marked as "Sold STC" or "Under Offer" compared to the total number of properties on the market.

For instance, if there are 300 Wolverhampton properties on the market, of which 100 properties are sold stc/under offer and 200 available properties, 100 as a percentage of 300, equates to 33.3%.

This percentage figure acts as a barometer for market conditions and can be analysed using this table:

Extreme Buyers' Market (0%-20%)
Buyers' Market (21%-29%)
Balanced Market (30%-40%)
Sellers' Market (41%-49%)
Hot Sellers' Market (50%-59%)
Extreme Sellers' Market (60%+)

How Does Wolverhampton Compare?

Looking at historical data from the website, The Advisory, which has tracked this metric for years, we can observe some key trends for each February. (For this exercise, Wolverhampton is WV1-4/6/10/11).

In the years before the pandemic (2018/19/20), Wolverhampton’s market hovered between 39% to 43% (remember the pandemic started in March 2020).
Demand rebounded post pandemic sharply in the summer of 2020, and continued into 2021 and 2022. In February 2021, the percentage had risen to 63% and in February 2022, it was at 71%.
However, with the fallout of the Liz Truss and Kwasi Kwarteng budget in late 2022, by the time we got to February 2023, it had settled down to 48%. By February 2024, the figure had softened slightly to 45%.
Now, in February 2025, we see the figure sitting at 47%.

Implications for the Wolverhampton Property Market in 2025

For sellers: We are now in a Wolverhampton property market where patience and strategy are essential. Buyers have more choice (as we have spoken about many times recently in our Wolverhampton property market blog posts), meaning sellers must focus on pricing realistically and ensuring their home stands out. Overpricing will lead to extended time on the market (which seriously cuts down your chances of both selling and eventually getting your sale to exchange and completion).

That being said, well-presented and appropriately priced Wolverhampton homes continue to attract solid interest. With mortgage rates stabilising, there is confidence among buyers—but they are taking their time to make decisions. A proactive marketing approach, including virtual tours, strong photography, and digital exposure, will be key to securing a sale in a reasonable timeframe.

For Wolverhampton buyers: Those in the market for a Wolverhampton property in 2025 will find they have a little more breathing space compared to the frenzied activity of 2021/22. While desirable properties still attract competition, there are opportunities to negotiate on price or secure favourable terms, particularly on homes that have been on the market for a while.

We cannot stress the importance for any buyer to get your mortgage pre-approved before you start offering, as it seriously strengthens your position when making an offer. Also, consider broadening your search slightly—sometimes the best value can be found just outside the most sought-after areas.

With a new Government settling in and wider economic factors at play, there is much to consider for those looking to buy or sell in Wolverhampton this year. The property market remains resilient, but expectations need to be adjusted to this more stable, ‘normal’ environment.

Are you planning to move in 2025? What are your thoughts on how the Wolverhampton property market will evolve? We'd love to hear your insights.

Details: Published: 21 February 2025

The UK housing market has always been subject to government policy announcements, outside forces of economics, and consumer confidence fluctuations. After a turbulent 2024, there is evidence that 2025 will provide more stability and growth—particularly in areas such as Wolverhampton, where affordability, high demand, and improved financial situations are coming together to create a helpful background for sellers and buyers alike.