As of May 2010: Hamptons International, one of the UK’s premier residential estate agencies, has announced a significant rise in new housing stock coming on to the market in recent weeks. This increase in supply is already removing inflationary pressure on prices, which we expect to remain level for the remainder of the year.
Hamptons International saw new instructions increase by a third (32%) during April 2010, despite an expected slowdown in the market ahead of the General Election. This trend has carried through the second quarter. The rise in stock comes ahead an expected increase of second homes coming onto the market, as homeowners try to avoid the increase in Capital Gains Tax for non-business assets. We are also anticipating a rise in stock due the suspension of Home Information Packs.
Buyer numbers remain healthy with low interest rates and a weak pound, providing stimulus to demand from both UK and overseas buyers.
Hamptons International can report the following activity in the housing market during April 2010:
New applicant registrations up 14 per cent in April 2010 as increasing numbers of potential buyers enter the market
Average sales price achieved across the south of the UK in April 2010 was 14 per cent higher than in April 2009
There was no slowdown in market activity in the run-up to General Election on 6 May; Hamptons undertook 33 per cent more market appraisals and took on 32 per cent more instructions than in April 2009
The number of sales agreed was up by 15 per cent, year on year
In line with national trends, prices have risen over the course of the year, with average sales prices achieved in April 2010 by Hamptons International up 14 per cent on last year.
Marc Goldberg, Head of Sales at Hamptons International said, “With stock levels increasing and demand remaining at healthy levels, we are confident of a buoyant summer market with decent transaction numbers. We would, however, encourage those who are considering putting their property on the market to do it now as the shift in power from sellers to buyers may lead to a tougher market ahead for those looking to sell.”not so severe that it stifles growth!