Winkworth sees completions down nearly 20%

Winkworth blamed buyer hesitancy and conveyancing delays for a 19% fall in completed sales last year.

But the agency said in a trading update that things are looking up in early 2024 with a stronger pipeline than at the same time last year.

“A substantial number of already agreed and contracted sales will now be reported in 2024 and, with activity in Q4 2023 showing a year-on-year improvement, we have entered the New Year with a stronger pipeline than at the end of 2022,” it said.

Net revenue down

Its latest financial update for investors reveals overall network revenue down by 5% to £26.4 million, sales down by 18% to £12.3 million, but lettings revenue up by 10% to £14 million.

“We believe that the rise of accidental landlords, postponing their sales due to price uncertainty and switching to the lettings market, combined with tenants hitting affordability ceilings, will lead to lower growth in 2024 and slowing rent increases,” the firm said.

New offices

Winkworth’s full year pre-tax profits are expected to be in line with the current market forecast of £2.1m (31 December 2022: £2.47m) and net cash at year end, following increased investment in new offices in 2023, to be at least £4.4m (31 December 2022: £5.25m).

We enter 2024 feeling more optimistic than this time last year.”

Dominic Agace, CEO at Winkworth (main picture), says: “With inflation seemingly under control and interest rates peaking, we enter 2024 feeling more optimistic than this time last year.

“Winkworth has a well-balanced revenue flow between sales and lettings and improved conditions in the former would counterbalance any slowing in the latter,” he says.

“After opening four new offices in 2023, we are in negotiations for some eight additions in 2024, in line with our long-term target.”