Buyers advised to wait until 2024 to buy a home

In a statement likely to rile plenty of estate agents, a proptech firm is suggesting aspiring homebuyers should wait until 2024 before trying to get on the property ladder.

Proptech firm iPlace Global, which provides conveyancing and sales progression platforms through brands including Moveable, has warned that those currently renting may need to pause plans for a home purchase amid rising mortgage rates and high house prices.

An iPlace Global poll found 26% of landlords are also looking to sell their buy-to-let due to soaring costs, which could also push rents up for tenants and hit their buying power.

Simon Bath, chief executive of iPlace Global, said: “Landlords, homeowners and renters alike are struggling to keep up with the current volatility of the market, however It's clear that those stuck in generation rent and aspiring first-time buyers are the most affected by the current housing market conditions, especially as property and mortgage prices continue to soar and market uncertainty lingers.

“The general uncertainty around the state of the UK economy, particularly after Liz Truss’ resignation, is significantly affecting the housing market.

“Homeowners and landlords have had to make big, reactive decisions within extremely short periods of time and now the future of the market hinges on her successor.

“My suggestion for all prospective buyers who are currently renting is that they calculate how much they are due to spend on rent in the interim, and judge how long they can realistically afford to save in anticipation of prices declining.”

He highlighted that the Centre for Economics and Business Research (CEBR) predicts that over the course of next year, house prices across the UK will fall by 8-10%, with expectations that the market could fully level out by 2024.

Bath added: “In line with this, the CEBR has also predicted that mortgage rates could even out by then, making it a more opportune time for first-time buyers to capitalise on the market – sparking hope that properties could become more affordable in the next few years.”