Sales agreed, buyer registrations and viewing activity all increased during March as the housing market entered the traditionally busier Spring period, the latest Housing Insight report from Propertymark reveals.
The report found the average number of sales agreed per member branch rose to 8.14 during March, while the average number of prospective buyers registered increased to 78 per branch. Viewing numbers also climbed to an average of 2.8 per available property.
Stock levels improved during the month, with the average number of homes available for sale increasing to 41 per branch, while new sales instructions averaged 10.1 properties.
Despite improving activity levels, affordability pressures continued to weigh on the market. Inflation rose to 3.4% during March, remaining significantly above the Bank of England’s 2% target, while the base rate held steady at 3.75%.
ASKING PRICES
Propertymark’s data also showed that only 8% of member agents reported homes achieving above asking price, while 86% said properties were selling below asking.
Within the lettings market, tenant demand continued to significantly outstrip supply. The average number of prospective tenants registered per branch rose to 81 during March, while available rental stock stood at just 12.17 properties per branch.
The average void period also increased to 3.3 weeks, marking a new high.
INCRESAED STOCK
Phil Spencer, Founder of Move iQ, says: “While the market was far from booming, the latest figures suggest there was still a healthy level of determination from buyers and renters who needed to move.
“We saw sales agreed and viewing numbers pick up during March, showing that many consumers were becoming more pragmatic about current mortgage rates and adjusting expectations accordingly.
“For movers, realism remained the key theme. Sellers who priced sensibly were continuing to attract interest, while buyers were understandably taking more time to weigh up affordability and value for money.
“The good news was that increased stock levels were giving people more options and reducing some of the intensity we saw during previous years.”
ENCOURAGING SIGNS
Nathan Emerson (main picture), Chief Executive Officer at Propertymark, adds: “March was a month that delivered some encouraging signs across the housing market, with sales agreed, buyer registrations and viewing activity all moving in a positive direction as we entered the traditionally busier spring period.
“Although inflation remained above target and global economic pressures continued to influence sentiment, we saw many buyers adapting to current borrowing conditions and proceeding where pricing expectations were realistic.
“Within the lettings sector, demand continued to significantly outpace supply despite a modest uplift in available stock.
“Many agents were reporting ongoing concern from landlords surrounding future regulatory changes, which were influencing investment decisions and contributing to longer-term supply challenges. Ensuring a stable and sustainable private rented sector remains essential to supporting tenants and maintaining choice across the market.”
