Paul Smith's Estate Agency Blog

Property shortages in best areas drive up prices

A shortage of properties for sale in popular areas is leading to rapid price increases.

At £162,038 the average UK house price has now risen for six consecutive months but at the same time there are fewer houses on the market than at any time in the last year and a half.

We’re really encouraged to see prices continuing to rise month-on-month. But the lack of houses for sale is really making the current situation a sellers’ market.

This is particularly true in popular areas. These are often areas with things like sought-after schools, a selection of period properties or good transport links. Here we’re seeing sellers being able to demand even higher prices as the lack of properties for sale increases demand.

This is encouraging news for the housing market. We traditionally see extra activity in the run-up to Christmas and then a lot of movement in the Spring. We’re hoping this increase in demand for houses in popular areas will really help strengthen the market and improve confidence.

Labels: estate agency, estate agent, estate agents, haart, house prices

posted by blogger @ 13:09

Top postcode property shortages

A shortage of properties for let in popular areas is leading to rapid rent increases.

Latest figures show that nationally rent has increased for the first time this year since the beginning of the slide in 2007. The average UK rent now stands at £604 per month.

Demand for quality rental properties in sought-after areas is extremely high at the moment. We’re seeing a lot of new tenants moving into rented accommodation while they wait for more stability in the housing market.

This is particularly true in popular areas. These are often areas with things like sought-after schools or good transport links. Here we’re seeing landlords being able to demand high rental returns.

This is encouraging news for the lettings market. Across the UK, some areas saw rent increases of up to 6% in the second quarter of this year compared to the first. Add to that the fact that property prices are stabilising and this means improved yields for landlords and excellent investment opportunities.

This demand for quality rental properties is an opportunity not to be missed by landlords.

Labels: haart, landlords, letting agencies, letting agent, tenants

posted by blogger @ 13:06