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TODAY'S OTHER NEWS

Supply soars as buy-to-let investors exit

The number of properties for sale jumped by more than half in March as buy-to-let investors exited the market.

Demand fell at the same time, with fewer potential buyers registering with estate agents.

First-time buyers who can now see a glimpse of light at the end of the tunnel as more climb onto the property ladder.

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The latest National Association of Estate Agents (NAEA) March Housing Market report showed that the supply of available houses jumped by 54% from 35 properties per branch in February to 54 in March.

Demand fell with an average 417 house hunters registered per member branch, down 10% from 463 in February when demand was at the highest level in 12 years.

Estate agents reported a fall in the number of properties selling for more than their asking price.

Only 7% agents saw this happen in March, compared to 11% in February.

Sales to first-time buyers rose in March and the new 3% stamp duty surcharge for buy-to-let should give supply a further boost.

In March, 28% of total sales were to first-time buyers, up from 24% in February.

The NAEA’s research also showed that 39% of estate agents expect buy-to-let stamp duty reforms to increase availability as investors back away, further boosting first-time buyers.

NAEA managing director Mark Hayward said: “In theory, things should get easier for first-time buyers as we have seen with a slight increase in sales as buy-to-let sales tailed off.

“However, prices remain high and housing is in short supply.”

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