Optimism falls from housing market – RICS

HOUSE prices dropped in Yorkshire and the Humber in April, according to the latest RICS UK Housing Market survey.

Across the region, 30% more chartered surveyors reported falls rather than rises in house prices.
 

Alongside this, expectations for future prices reached their lowest level since December last year with a net balance of 43% more respondents predicting falls rather than rises in house prices.

Demand from potential buyers in the region was relatively flat during April as 5% more surveyors reported decreases rather than increases in new buyer enquiries (from +1% in March).

Meanwhile, new instructions, an indicator of supply coming onto the housing market, was once again in negative territory as 3% more respondents reported falls rather than rises in new homes coming up for sale, a slight improvement on March when the figure dropped to -18%.

During April, transaction levels in Yorkshire and the Humber were positive, as 14% more respondents reported increases rather than decreases in newly agreed sales.

Across the UK, London was again the only part of the country to see prices rise, albeit at the slowest rate since the middle of 2011.

RICS Yorkshire and Humber spokesman, Jon Charters-Reid, of Charters Reid & Associates, said: “It’s not surprising to see that house prices across Yorkshire and Humberside are continuing to fall, when you consider the continuing lack of available mortgage finance and of course, March’s stamp duty holiday coming to an end.

“However, the lack of supply of new instructions is helping to stabilise prices in some areas and there are a number of first time buyer mortgages becoming available – some are even 95%.”