In last week’s newsletter, the latest data from the Business Pilot Barometer showed that the retail sector had ‘flatlined’ in September.
It wasn’t a disastrous report, but after the first half of 2024, I’m sure many would have been hoping for a more uplifting analysis, especially as we head into what is traditionally a busier season for the industry.
So, after reading the news today (and trying not to get too bogged down in the doom and gloom) I found something that may offer a bit more of a positive outlook, with the headline ‘UK house prices rise for third straight month’.
This story, based around data from Halifax, revealed that the average price of a UK home is now £292,399, a figure that is only fractionally shy of the all-time record set back in June 2022, which at the time was a reflection of the post-pandemic ‘race for space’ where everyone wanted bigger houses and a larger garden.
A few months later, the housing market was mauled by the Liz Truss mini-budget debacle and the rest is history.
Two years on and it seems we may be back on track – although, I hear you say, it’s all very well house prices going up, but is anybody actually buying them? Well, separate figures from the Bank of England have revealed that there were almost 62,000 mortgages approved in July – again, that’s the highest total since September 2022.
So, is this is a good thing for the window, door and conservatory industry? Well, you could argue that even when the property market is stagnant, demand will be there from those that decide to ‘improve and not move’, but I would suggest that consumer confidence also plays a huge part in whether homeowners are willing or not to invest in their property.
If they think that their home is worth more, they’re more likely to invest in it, or the new, larger property that they’ve just upgraded to.
It may not be that simple of course, but with mortgage rates coming down, the cost of living crisis easing and homeowner confidence on the up, we may see an corresponding upturn in window, door and conservatory sales further down the line.
A positive sign for the home improvement sector?
In last week’s newsletter, the latest data from the Business Pilot Barometer showed that the retail sector had ‘flatlined’ in September.
It wasn’t a disastrous report, but after the first half of 2024, I’m sure many would have been hoping for a more uplifting analysis, especially as we head into what is traditionally a busier season for the industry.
So, after reading the news today (and trying not to get too bogged down in the doom and gloom) I found something that may offer a bit more of a positive outlook, with the headline ‘UK house prices rise for third straight month’.
This story, based around data from Halifax, revealed that the average price of a UK home is now £292,399, a figure that is only fractionally shy of the all-time record set back in June 2022, which at the time was a reflection of the post-pandemic ‘race for space’ where everyone wanted bigger houses and a larger garden.
A few months later, the housing market was mauled by the Liz Truss mini-budget debacle and the rest is history.
Two years on and it seems we may be back on track – although, I hear you say, it’s all very well house prices going up, but is anybody actually buying them? Well, separate figures from the Bank of England have revealed that there were almost 62,000 mortgages approved in July – again, that’s the highest total since September 2022.
So, is this is a good thing for the window, door and conservatory industry? Well, you could argue that even when the property market is stagnant, demand will be there from those that decide to ‘improve and not move’, but I would suggest that consumer confidence also plays a huge part in whether homeowners are willing or not to invest in their property.
If they think that their home is worth more, they’re more likely to invest in it, or the new, larger property that they’ve just upgraded to.
It may not be that simple of course, but with mortgage rates coming down, the cost of living crisis easing and homeowner confidence on the up, we may see an corresponding upturn in window, door and conservatory sales further down the line.
Glass Times
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