Agents are expecting housing market activity to pick up following a decisive outcome to the General Election.
“Now the months of uncertainty are finally over, we are already witnessing confidence returning to the market with buyers and sellers in a more informed position to make the decisions they were putting off,” said Andrew Weir of London-based estate agent Foxtons.
“Whilst it’s still far too early to put any numbers on it, we expect to see more stock coming back to the market and increased buyer confidence especially with interest rates still as low as they are.”
Prices in London dipped by 2.3 per cent from April to May, according to figures published today by online market platform Rightmove. Nationally, May saw a drop of 0.1 per cent in the average asking price – the first fall in the month of May for five years. On the year, house prices rose only 1.5 per cent, putting London behind most other UK regions.
“Buyers should note that there is often a surge of property supply after an election, as those who have held off coming to market decide to take the plunge. Many potential sellers may have held back expecting a period of hung-parliament uncertainty, but they could now decide to catch the late spring market,” said Rightmove director Miles Shipside.
House prices could weaken as a result of increased supply, but Shipside warns that any reduction in house price growth will not last long due to a longer-term shortage of housing.