House Buyers Return To Property Market, Estate Agents Say

There was a rise in demand from buyers looking to buy property in June and housing stock levels decreased for the first time in four months, according to the National Association of Estate Agents (NAEA).

The number of house hunters increased in June, the latest NAEA market report shows, with the number of new buyers registering with estate agents rising from 265 in May to 279 in June as an average per branch.

The number of houses available for sale saw a slight decrease from 62 per branch in May to 59 in June while the number of sales fell from eight to six per branch on average.

These findings are at odds with the latest housing market survey from the surveyors published earlier this week, which showed a preponderance of sellers entering the market and a decline in the number of buyers in June.

The disparity between reports from the estate agents and the surveyors may be due to where each becomes engaged during the sales cycle. Estate agents will see a boost in the number of new enquiries first, before agreed transactions trickle down to the surveyors involvement.

With a more optimistic view of the health of the property market, NAEA President Michael Jones said:

“It’s encouraging to see that increasing numbers of buyers have entered into the market. There is clearly demand for property at present but these figures suggest that the banks are still being restrictive in their mortgage lending policies to buyers.”

“If the banks ease up on mortgage lending restrictions then with a bit of luck, the summer months will see the sales figure rise in line with demand.”, he added.