Supply Plummets In June Halting Return of Housing Stock
UK property supply stuttered in June, reducing by 12.7% on an annual basis.
According to research into Home.co.uk data for June, by Housesimple, the 61,775 new properties entering the market in June marks a 9,000 property reduction in a year from the 70,775 new properties in June 2018.
Even when compared with May’s figures, new stock entering the market reduced by 1.9%.
Kent and Cornwall were amongst the worst affected areas for stock depletions with new housing entering the market in June falling by a third (31% and 30.3% respectively) on an annual basis.
In fact, only two areas of the UK experienced a housing stock increase over a monthly basis. Housing in the North West enjoyed a 3.92% monthly boost, rising from 6248 new listings in May to 6,493 in June. London stock also increased by 2.03% on a monthly basis from 24,607 new listings in May to 25,107 in June.
Sam Mitchell, Chief Executive of Housesimple, said:
“Although new property supply fell slightly in June, new listings still exceeded 60,000 for the second month in a row, as new sellers took advantage of the better weather and reduced Brexit uncertainty to market their properties.
“The north-south divide has long been a feature of the UK property market, reflected in both property supply and prices to show the consistent growth of northern regions.
“Albeit marginal, the fact that house prices continue to climb overall demonstrates the resilience of the UK property market and reflects the more favourable economic factors including low unemployment and low interest rates at present.
“We’d expect to see momentum continue in July before slowing during August, as people go away for their summer holidays. However, savvy sellers can still benefit from listing their property during high summer, as they face less competition for buyers.”
Do you envision the market the continue to grow following this blip? Or, will an expected summer slow down hinder the progress of property sellers returning to the market?