Residential market survey reports transaction slowdown
17 Jul 2017
The average supply of stock has hit another record low, with reduced numbers of agreed property sales. The June edition of the UK Residential Market Survey, published by the Royal Institution of Chartered Surveyors’ (RICS), found that:
- Price growth has lost momentum across the south of the country
- The flat sales trend is likely to continue over the coming months
- Average stock on surveyors’ books has hit a new low highlighting on-going supply shortage
Demand has slipped further as new instructions fell for the 16th month in a row. Respondents reported that price rises across the south of England had stalled, and that in the next 12 months they expect sales activity to remain depressed, with the lowest reading since the EU referendum.
Only 7 per cent of UK surveyors had reported a rise rather than a fall in house prices in June, the lowest reading since July last year. The slowdown could be attributed to the uncertain political situation, according to 44 per cent of those polled.
Simon Rubinsohn, Chief Economist at RICS, says: "In the current environment, the term 'uncertainty' is featuring more heavily in the feedback we are receiving."
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