Survey shows buyers outnumber sellers
Posted: 07 Aug 2006 14:57:16 GMT
More people are looking to buy a house than sell one at a ratio of 2.5 to one, new research suggests.
Over 1.5 million people registered to sell their house in July. However only around 600,000 of those registered were looking to see their house as well, according to Your Move.
It seems that first time buyers are on the increase and that existing homeowners wish to invest in the property market as it continues to thrive. The Bank of England raising interest rates last week to 4.75 per cent may stem this tide somewhat, however it appears people are still keen to buy.
David Newnes, managing director of Your Move stated: "While the number of active buyers has reached a record high, a reluctance to put their own properties onto the market has resulted in an acute shortage of supply. With too many buyers chasing too few sellers, the
pressure for property prices to rise further will only intensify.
"Home buyers are mainly focusing on securing a new home before putting their own on the market. They are concentrating on what they believe to be the more difficult task in the present supply starved market. This however, exacerbates the continuing shortage of houses on the market."
There are currently around 633,000 homes for sale in the UK and the industry on the whole seems to point to a short supply and increased demand.
Commenting on the figures Alexander Hall mortgage brokers stated: "I am not surprised at all. Figures I have seen coming through showing applicants registered are similar to that."