NAEA sees residential property demand rise, but sellers grow cautious
Edited by Tom Bardsley.
Demand for residential property
increased during November, although sellers appeared more cautious about entering the market, according to a new report.
Figures compiled by the National Association of Estate Agents (NAEA) show the average number of house hunters per branch rose from 218 in October to 241 last month.
The organisation said the increase was "particularly positive" given the time of year, as activity would normally be expected to slow down.
NAEA president Michael Jones said the figures show "clear evidence" that demand is holding up in the housing market.
"In fact, given the restrictions on mortgage lending and the approach of Christmas, the true level of demand is probably higher than indicated by our figures," he added.
On the other side of the coin, the NAEA found the average number of homes listed for sale with each agent had dropped from 67 to 64.
There was also a decline in the proportion of property transactions involving first-time buyers from 23 per cent to 19 per cent.
Mr. Jones said sellers are typically reluctant to move in the run-up to Christmas and some still have "unrealistic expectations" about the value of their home.
According to Nationwide, the average home cost £163,398 last month.