The housing market is experiencing a heavy fall an effect that has caused the market not to relish the benefits of selling high during the pre-charismas time period. According to the report findings by the NAEA during the month of October, very low sales have been recorded by the housing market marking a six-year low by listings its weaknesses.
The registered house hunters grand mean per estate agent branch during the month of September dropped by 13%. There were 338 prospective buyers din the month of September at every single branch. However, this number fall to 294 in the month of October. Interestingly, the number of buyers have never gone below 265 mark, a number that was recorded in the year 2012.
The inadequacy of the stock house is also another area of concern during this season. Reports shows that only 46 stock houses were present at each branch in the month of September while in October the number dropped slightly to 40 in October representing a 13% fall that is parallel to the average that happened in August fluctuations.Furthermore, the mean sales per branch during the month of September and October were not so different with October mean sales being 8 properties while September registered a mean of 9 sales per branch.
The fall in the annual rate of growth to 1.6% is the lowest value in a period of 5 years and can be attributed to the Brexit effect. Both the buyers and sellers are being affected by the effect. The chief executive of NAEA property mark, Mark Hayward had some views to share. He suggested that the scruples ongoing in Brexit could be the major drawbacks to the sector. He added Brexit could be influencing the buyers and sellers to withhold their agendas as they weigh on the UK Brexit decision. The ongoing holiday period could be resulting in the experienced changes as many people settle to plan for the new year an effect that is usually felt.
The planning manager at Aston Mead, Richard Watkins commended by saying that individuals whose next plans are expensive usually wait for an opportune time to come before deciding to move on when factors are undetermined. The ongoing Brexit issue was probably having a great impact on the market portfolio. He also acknowledged the fact that the issue has greatly affected London and the south-east by raising pent-up demand. This situation could be declared when Britain departs from the European Union in 2019, end of March. Market transactions had been lowered greatly. A 1% increase in the stamp duty land tax for foreign buyers was compared to the preceding 3% that had been suggested. A further allowance of 2 years period to them would motivate and make then purchase more.
Additionally, he projected better trading activities starting from April next year, which will be of great encouragement to conveyancing solicitors Lancashire services. Simon Bath who is the CEO of a digital conveying service called “ As You Move” admitted that the housing market has dropped informing buyers on taking advantage of the reduced rate of house loans which a historical state.
The governor of the Bank of England had earlier passed a notice on prices of houses falling if the Brexit deal will not be sorted-out urging investors and buyers to utilize the opportunity before the market conditions goes to normal While it could be a serious problem for the housing market, first-time buyers are the mostly advantaged individuals enjoying a market share rise of 23% from 22% in October.