Winkworth’s sales agreed in the first half of the year were 19% higher than the same time in 2023 with the run up to the general election having had a less dramatic impact on the property market.
The agency, one of the leading franchisors of restate agencies, told the City this morning that it would pay a dividend of 3p per ordinary share for the second quarter of 2024 to shareholders.
Following expectations that interest rates had hit their peak in January, the sales market picked up significantly in Q1 2024 and, despite rates remaining unchanged, improved sentiment on the UK economy maintained this momentum.
However the upmarket agency, led by Dominic Agace (main picture), cautioned that with transaction times still extended it would expect many of the sales agreed in H1 2024 to complete in H2 2024.
Lettings activity also remained positive in the first half of the year, albeit increased sales activity and affordability ceilings having been reached led to a greater supply of rental properties and a fall in applicants.
LESS IMPACT
In a statement to the City the agency said: “The run up to the general election appears to have had a less dramatic impact on the property market than in previous instances except for on the demand for high-end properties, where a combination of the Conservative Party’s removal of non-domiciled status, the Labour Party’s stated intention of adding VAT to private school fees, and the higher cost of finance have weighed on this sector.”
As planned, in the first half of the year the Company opened three new offices and resold four franchises.
Preliminary results show H1 2024 network sales up by approximately 8% on H1 2023 and H1 2024 network lettings by approximately 4% compared with the prior year.
The Directors expect pre-tax profits for the year to 31 December 2024 to be in line with market expectations of £2.4 million.
