Activity in housing market falls

October 23, 2017 by Brendan

Property Market

Property sales and buyer enquiries fell even further during September, according to a report from RICS.

The latest report from the Royal Institution of Chartered Surveyors (RICS), shows that a further fall in enquiries from buyers, for the sixth consecutive month, while agreed sales had also fallen.

The only UK regions to experience an increase in sales were the South West and Wales. Estate agents and property experts do not expect property market activity to improve during the coming three months, and some expect falling house prices rather than a rise.

According to experts, this may be due to unrest in politics and the economy, fewer homes for sale and limited affordability. In September, the Monetary Policy Committee indicated that a rise in interest rates may be imminent, maybe as soon as in November. This is making potential buyers cautious about buying property.

As fewer properties are coming onto the market, there are fewer options for home movers. This in turn impacts on first-time buyers, as there are fewer starter homes for sale. The high demand and shortage of homes is also keeping house prices at a premium, which impacts on affordability. However, property market activity varied across the UK, with London property values continuing to drop. Estate agents in Scotland, Northern Ireland and Wales are demonstrating optimism in the property market over the next year.

For those buyers who have managed to find an affordable property, advice from a CeMAP qualified mortgage advisor will help them find a mortgage.