The outlook for the South West property market in 2023

Managing Director for Allison Homes’ South West region, Matt Bennett shares his outlook on the property market for 2023.

The Somerset region will continue to generate interest

While some industry analysts forecast a cooldown and sales rates slowing, house prices currently remain stronger than pre-pandemic and with its thriving communities, the South West region is still one of the most desirable areas in the country to live.

The requirement for quality housing (both private and affordable) is particularly evident in Somerset. We will be continuing our commitment to build much needed quality homes in the county, focussing currently on our Somerton development which follows the trend of our recently completed development in Langport and continues to receive significant local and out of region interest.

Although Somerset remains in the throes of the phosphates issue, a solution does look more likely that should enable new homes development on some scale going forward.

Affordability is key for the Devon market

With location at the forefront of purchasers’ minds, teamed with the flexibility of the work from home culture, Devon remains exceptionally popular with prospective purchasers seeking to live away from cities post pandemic and we expect to see interest from outside the region continue this year.

Devon is thriving with career opportunities in the ever-growing tech industry and renewable energy sectors making the region both a great lifestyle and career choice. Large infrastructure investment and a focus on carbon reduction will contribute towards the county’s capital city, Exeter, having the fastest economic growth at the point when the UK emerges from recession, says a new study. According to research, Exeter’s economy is predicted to be 1.3% larger in Q4 2023 compared to how it was in the final quarter of 2022. It is also expected to be in the top five for employment with levels rising year-on-year by 1.7%.

Fundamentally in the South West, home ownership has always been a better financial option than rental and quality new homes are a fantastic way to get on and move up the property market. Of course, affordability is a priority for prospective homeowners and positively, interest rates remain comparatively low when you consider average rates over the last 30 years.

New homes, and crucially Allison Homes, are amazingly energy efficient, making them an excellent economic option, with energy efficiency at their core.