RICS surveys suggests a flat housing market over the next 3 months

By Martin and Co Basingstoke -



The latest UK Residential Market Survey from the Royal Institute of Chartered Surveyors (RICS) has provided some interesting insight into the Sales and Lettings markets in the lead up to the election and beyond.

Sales Market
In the sales market, there has been a continued decline in the number of properties coming to the market, the number of sales completing, and the number of people looking for properties to purchase. The number of buyers however, continues to far exceed the number of properties available.
Anecdotal evidence would suggest these are two main contributors to this:
·         The snap election has caused a level of uncertainty in the market, although this should be less marked than in the past due to the short period before the election.
·         The second contributor is the changes to stamp duty starting to take effect, both in the buy-to-let market, but also for properties at higher price points.
Despite this, house prices have continued to rise, albeit at a slightly slower rate. This has been driven by the shortage of available stock, with the number of available stock on estate agents books at near record lows.

Nevertheless, the twelve month outlook continues to show a pick-up in sales over the second half of the year.


Lettings Market
In the lettings market, there has been a very similar trend. A lack of properties coming to the market combined with slowing tenant demand over the past six months, but with the seasonally adjusted figures for the year showing a modest rise.
Rents over the coming twelve months are expected to rise only modestly as tenant demand remains flat.

This last graph illustrates extremely well the shortage of rental properties coming to the market over the past three months.

Let’s hope there is no “trump effect” following the June 8th Elections.
Location: Basingstoke, UK

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