New Buyer demand for homes rose by 8.6% on the month but is still down annually by 20.4%. Additionally the number of properties coming onto the market has risen by 11.6% on the month, however is down by 13.2% on the year. This month there are 9 buyers chasing every property across England and Wales.
The market has become more efficient this month, as the number of transactions has decreased at a slower rate than the number of viewings. Meaning that buyers are choosing to look at fewer properties before they buy.
The average purchase price for first-time buyers has risen on the month by 5.2%, and by 1.4% of the year. This comes as the number of first-time buyers entering the market has risen by a significant 10.3% on the month, however is still down by 33.6% on the year.
Despite average purchase prices rising, the average amount paid for a deposit remains relatively unchanged on the month, however is up 4.9% on the year.
Paul Smith, CEO of haart, comments: “Our June data exemplifies a property market that is experiencing a boost in the wake of the General Election as house prices rise across England and Wales, in London and for first-time buyers. This is a far cry from predictions which are hinting around a potential housing crash, fostering homeowner negativity, and do nothing for a market which relies so heavily on consumer confidence.
Clearly neither Brexit nor the general election result is having much of an influence. Our recent survey of over 2,000 home owners found that Brexit has had no impact on over 75% of Briton’s decisions to buy or sell a property, and this month we saw new buyer registrations jump up 10% on the month, and even new stock coming onto the market is up 11% in England and Wales. Green shoots are also finally emerging in London, where stock is up a huge 14% on the month.
However unaffordability still remains too big a barrier for many, and this will not be resolved until we improve housing supply on a bigger scale than ever seen before. This can only be achieved when we resolve the gridlock that is house building, and introduce incentives for greater fluidity in the market.”
