This week our market research decided to look not just at the increasing property prices but also the rising inflation issues.
The UK government wants to keep inflation at 2%. If it rises too high, it will put pressure on the Bank of England to curb spending by increasing interest rates. It is becoming a real concern for many.
Property Prices in the last 12 months have increased by 10.8% in Lancaster and 9.5% in Morecambe. In the villages of LA2 they have increased by a whopping 16.9%.
It is not just property prices that are rising. Fuel costs have increased considerably. Food prices are rising. We have to remember though that 12 months ago, many people were not traveling far, and the cost of food was heavily supported by the Eat Out to Help Out scheme. The whole market is distorted by a combination of Brexit and the Covid Pandemic.
The rise is expected to be temporary, the latest government forecasts predicting inflation will be 2.4% a year from now, before falling back below the government’s 2.0% target in 2023.
We’ll just have to see what happens with property prices in Lancaster and Morecambe, however, with the Eden Project looking soon to be a reality, the de-commissioning of Heysham Power Station in the planning and the controversial plans surrounding the Garden Village in Bailrigg, we expect property in our region to be in high demand for the foreseeable future.
If you would like to talk about property prices in the area or what your home might be worth, please get in touch. At JDG we are here to help. Call us on 01524 843322 or email me at email@example.com
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