Two major reports on the condition of the residential sales market were released in July 2019, with both highlighting resilience. Here, Keats Estate Agents in Haslemere share some of the findings.
On Monday 29th July 2019 Zoopla reported an overall rise in house prices region by region – apart from London where house prices have fallen consistently over the past three years. Meanwhile NAEA Propertymark, one of the industry’s leading professional bodies provided an overall picture of activity levels within the marketplace.
According to Zoopla who actively monitor the market, house prices in the South East have risen 3.2% since January 2019 with an average house price now being £413,284. This is based on ‘sold’ figures provided by the Land Registry.
Propertymark looked to its membership base when compiling its latest report which analyses specific business activity. Comparing activity in June 2019 with May 2019, member firms reported a marginal drop in potential buyers registering their details as well as a slight decrease in new housing stock coming onto the market.
First-time buyers who undertook such a resurgence in 2017/18 have been gradually slipping away and the trend continued in June with a 3% drop in sales to this buying group.
Sales agreed remain steady despite the economic uncertainty with a 1% dip from the same period in 2018, but noticeably the report shows that 81% of all sales were agreed at less than the asking price.
Rita Tinney, Keats Sales and Lettings Director commented: “Far from being negative, this shows that although sellers are placing their homes on the market at sometimes optimistic prices, they are ready to agree to a sensible deal with the right buyer.
“We heartily agree with the Propertymark report as we too have noticed a drop in new buyers, but those who are registering their details are serious about buying and have done their research. With the hopefully temporary demise of the first timer, agents are working with more experienced parties who seem to respect each other’s position.
“While ‘toe in the water’ offers may be 10 to 12% adrift of the asking price, the final agreed figure is 3 to 5% below. This attitude is the main contributor to the momentum in the current market. To quote from the Propertymark report…the market is showing resilience amid political uncertainty.”