Market Resumes Seasonal Norms As Buyers And Sellers Return
Buyers and sellers are returning to the market as the number of registered property hunters and new instructions return to seasonal average in May.
A welcome statistic from May’s Housing Report by the National Association of Estate Agents is the return and increase of housing stock to the market. The number of available properties registered per branch increased from 35 in April to 41 in May.
This is also a 10% increase from the 37 available properties per branch in May 2018.
The number of registered house hunters per estate agent branch increased by 16% and rising from 265 in April to 307 last month.
Whilst it is fantastic that the property market is starting to gain traction in 2019 after stalling in the opening quarter, on an annual basis, these numbers are still 4% down on the 351 house hunters registered in May 2018 and the 350 in 2017.
The number of sales agreed per branch also increased from 8 in April to 9 in May. This also represents an increase from May 2018’s 8 sales per branch.
However, there are indications that the current market is favouring the buyer as 81% of properties sold for less than the original asking price in May. Only 5% exceeded the original asking price.
Mark Hayward, Chief Executive of NAEA Propertymark, commented:
“It is encouraging to see the housing market bouncing back, with supply and demand rising to the highest levels seen since last year.
“It’s evident that buyers and sellers are no longer waiting for the outcome of Brexit and want to get things moving, particularly as many sellers are realising that it’s a buyers’ market in certain areas of the country.
“More than eight in 10 (81 per cent) properties sold for less than the original asking price in May, which shows that estate agents, with buyers and sellers, are successfully negotiating a property sale, with them coming to an agreement on the value of the home.”
Do you think that buyers and sellers are returning to the market? Is there a feeling of confidence increasing in the housing market?