INDUSTRY NEWS 9 UK housing market faltering
Price growth and sales activity have fallen in July, according to the RICS UK Residential Market Survey.
RICS said record-low stock numbers, political uncertainty and the aftermath of tax changes were some of the major obsta- cles hindering the UK housing market. In July, the headline price growth gauge slipped from +7 per cent to +1 per cent, signalling prices were broadly flat over the period, and representing the softest reading since early 2013. According to RICS however, the national figure conceals diverging trends across parts of the UK. House prices remain on an upward trend in some areas, led by Northern Ireland, the West Midlands and the South West. In contrast, the net balance reading for central London remains negative, with the pace of decline broadly matching that of the previous three months.
Chartered surveyors are starting to
report early signs of this flatter trend permeating outside the capital, as the price balance for the south east of England fell into negative territory, posting the weakest reading for this part of the country since 2011.
In an another survey question, contribu- tors reported on sales prices in comparison to their asking price. Nationally, homes at the top end of the market (£1m+) saw the greatest deviation in agreed prices, with 68 per cent of respondents reporting sales prices coming in below the asking price. While this is not uncommon in a flatter market, 33 per cent of respondents said the agreed price was up to 5 per cent below the asking price, and 26 per cent reported between 5 and 10 per cent under. Alongside this, RICS has reported a continued lack of momentum in sales activity, with the net balance readings for buyer enquiries and agreed sales remaining slightly negative, at -4 and -5 per cent respectively.
RICS claims that the main factors holding the market back continues to be a sustained deterioration in the flow of fresh listings, with new instructions dwindling for the seventeenth consecutive month in July. Consequently, average stock levels on estate agents’ books remain close to record lows, limiting choice for potential home buyers.
Simon Rubinsohn, RICS chief
economist, commented on the survey’s findings: “Sales activity in the housing market has been slipping in the recent months, and the most worrying aspect of the latest survey is the suggestion that this could continue for some time to come.” As to the reasons behind the fall in
activity, he said tax changes are “only part of the story,” and that a “lack of new build in the wake of the financial crisis is a more fundamental factor weighing on the market.” He said: “The flatter trend in price growth is arguably a silver lining, but there is no real indication that the housing market will become materially more affordable anytime soon.
“Hence the need for the government to press ahead with the Build to Rent initiative as well as continuing to focus on other tenures alongside home ownership, to try and address this critical issue.”
GRP door & window canopies from Canopies UK
We have supplied more than 30,000 canopies throughout the UK to housing associations, contractors, house builders and local authorities.
With a standard range of popular canopy designs, a bespoke manufacturing facility and installation service if required, Canopies UK offer the complete solution.
Free site visit CAD drawings
Full fixing kits Delivery nationwide
For a quote call Greg now on: T: 01254 777002 M: 07846 423812
Specification sheets Installation if required
www.canopiesuk.co.uk Email:
greg@canopiesuk.co.uk
WWW.HBDONLINE.CO.UK
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60
