Brexit fears continue to hinder Yorkshire’s housing market

Demand from buyers and sellers in Yorkshire and the Humber’s housing market has dropped due to the uncertainty surrounding Brexit, according to the November 2018 RICS UK Residential Market Survey.

The results from the monthly survey show a weaker trend in sales than previous months, with respondents reporting a fall in demand and supply during the month of November.

Only 3% of agents reported a rise in the number of buyer enquiries last month, with Brexit and the continued limited choice of properties for sale in the region cited as causing potential buyers to delay purchasing new properties.

The number of new properties being listed for sale in the region also fell for the fifth consecutive report.

This lack of new stock is impacting estate agents’ average stock levels with agents now only having, on average, 32 homes for sale. The number of new appraisals by property valuers is also down in comparison to a year earlier.  

As a result, the number of agreed sales in Yorkshire and Humber fell in November and 40% of agents do not expect sales to rise over the coming three months.

Looking at house prices, 16% of agents in Yorkshire and Humber reported a rise in prices last month (down from 19% in October), however contributors don’t expect to see prices increase over the coming three months.

Chris Clubley, FRICS of Clubleys in Market Weighton, said: “The market is currently being affected by the uncertainty of Brexit and potential interest rate rises. We expect the market to remain difficult for the next two years.”

Simon Rubinsohn, RICS chief economist, added: “It is evident from the feedback to the latest RICS survey that the ongoing uncertainties surrounding how the Brexit process plays out is taking its toll on the housing market. Indeed, I can’t recall a previous survey when a single issue has been highlighted by quite so many contributors.

“Caution is visible among both buyers and vendors and where deals are being done, they are taking longer to get over the line. Significantly the forward-looking indicators reflect the suspicion that the political machinations are unlikely to be resolved anytime soon. The bigger risk is that this now spills over into development plans making it even harder to secure the uplift in the building pipeline to address the housing crisis.”

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