More homebuyers are turning to fixer-upper homes to help reduce the initial cost of climbing the property ladder, whilst modern homes and the higher price tag they command are less in demand in current market conditions, latest research from Yopa reveals.
The analysis of almost 330,000 property listings shows that fixer-upper homes are currently the most in demand amongst buyers. Of those listed for sale in the current market, 46% have already sold subject to contract or gone under offer.
In contrast, just 37% of period properties have already found a buyer, whilst just 27% of modern homes have been snapped up.
With Rightmove estimating that the average fixer-upper sells for an average discount of 12%, it’s clear that the nation’s homebuyers are turning to project properties to help alleviate the initial high cost of homeownership.
RIGHT DIRECTION
Steve Anderson, Yopa’s National Franchise Director, says: “The market is certainly heading in the right direction and there’s an overarching air of optimism that 2025 will bring a more settled landscape, certainly with respect to mortgage affordability.
“However, as it stands, buyers continue to face far higher borrowing costs than they’ve become accustomed to in recent years and it’s clear that affordability remains a sizable obstacle when it comes to the pursuit of homeownership.
“So it’s no surprise that fixer-upper homes are in high demand at present, as they allow a lower initial cost when climbing the ladder, with the ability to spread the cost of improving them over a period to suit each individual buyer’s timeframe and financial foundation.”
