UK property professionals are worried about listing levels hitting a record low. This is consequently driving up prices, according to the March 2017 UK Residential Market Survey from the ‘RICS’. On average, there are just 43 properties being marketed by each agency, the lowest since 1978 (when the RICS started collecting data).
Neil Foster, of Foster Maddison Property, claims that the issues are being exacerbated by agents who are, “overvaluing…creating a chasm between asking prices and sale prices achieved. Leading to over expectation by vendors and reluctance to engage from buyers”. We see demand increasing and the shortage of available property is frustrating buyers.
Projections on a national level suggest a steady increase in prices over the next 12 months. However, these figures vary across the country. Those in the North West show a firm upward trajectory. While, those in London have been slowly deteriorating.
The average time to complete a sale; from listing to completion, has remained fairly steady over the last 2 years at 17 weeks.
The letting market has also seen a similar rise in demand, with new landlord instructions remaining in negative territory. Again, this is pushing rental prices up each month; expectations are that rental prices will increase across the country over the next 12 months. Except for London, where the expectation is for rental prices to soften or stabilise in the year ahead.