Great Start to the Year for the Property Market
It has been a positive start to the year for the property industry, with rising levels of buyer enquiries seen across the UK.
In the first working week of 2016, property portal Rightmove saw an increase of 21% more website visits compared to the same point in 2015. Leading telephone answering service, Moneypenny, have also released statistics on enquiries to agents. Their data shows viewing requests rose 71% from December 2015. Their data showed an increased level of enquiries from potential purchasers at 77.6% and potential tenants at 57%.
From Rightmove’s January data, it is clear to see at least one reason for the surge in enquiries. Their figures reveal there has been a 6% year on year jump in the number of newly marketed properties, with the majority being of two bedrooms or fewer.
Lending to first time buyers exceeded buy-to-let investors by 3 to 1 in 2015 say the Council of Mortgage Lenders (CML). Only 11.6% of purchases last year were recorded as buy-to-let purchases, whereas the figure for first time buyers was three times the amount. This is positive news with CML also reporting the level of loans for first-time buyers reaching £46.7 billion in 2015 (the highest level of activity since 2007).
City Branch Manager Ripon Abdul comments “The increase in activity we have so far in 2016 has been very exciting. We have seen a spike in new listings coming on to the market and received 40% more enquiries in January from December” Ripon had anticipated higher demand from buy to let purchasers at the start of the year. “With the increase in Stamp Duty coming into effect on 1st April, investors are clearly motivated to complete before 31st March.”
Latest data released from The Royal Institute of Chartered Surveyors’ (RICS) also supports this. The rate of agreed sales in January has surpassed April 2014 to become the fastest month on month growth on record.
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