Welsh homeowners looking to sell soon have good reason to feel positive; despite economic challenges that have dampened the housing market in recent years, industry reports suggest the outlook is brightening. Here are some of the key takeaways for buyers and sellers:

House prices are recovering
New figures released by the Principality Building Society’s Welsh Price Index announced that Wales has seen its strongest quarterly growth in house prices in over two years. The data, which puts the average sold price of a Welsh home at £238,413, shows a 2.2% hike since the previous quarter. Compared to the same period in 2024, the news is even better, with a 4% increase reported and the number of transactions jumping by 20%.

Falling interest rates are improving affordability
The global economic backdrop and higher interest rates are partly to blame for some of the challenges the Welsh housing market has faced recently. However, with rates continuing to fall – the Bank of England cut the base rate to 4.25% in early May and is predicting a downward trend – mortgages are gradually becoming more affordable. This means that buyers are feeling more confident, putting pressure on supply and keeping house prices more buoyant.

Buyers are still in a good position
Although house prices are rebounding, buyers are still well-positioned to find their dream home. Spring is always a time of plenty as buyers and sellers set their sights on a summer move, bringing more choice to the market. As we’ve seen above, a lower interest rate will also provide relief for borrowers.  

Thinking of selling or buying soon? Talk to an expert advisor today to get started.