Housing market – NAEA monthly survey

Citation

(2002), "Housing market – NAEA monthly survey", Property Management, Vol. 20 No. 1. https://doi.org/10.1108/pm.2002.11320aab.016

Housing market – NAEA monthly survey

Housing market – NAEA monthly survey

It has been a sizzling summer in the residential property market and members of the National Association of Estate Agents (NAEA) are confident the market will remain strong for the rest of the year.

In a market trends survey of members, nearly 75 per cent of respondents said demand for properties was outstripping supply particularly for detached and semi-detached properties.

The survey also suggested average house prices are around 9.5 per cent higher than year ago – in line with the Halifax's latest figures which suggested price rises nudging 10 per cent.

NAEA chief executive, Hugh Dunsmore-Hardy, said:

Not only are members in many areas of the country reporting a busy summer, but around two thirds of those responding to the survey are saying that business is continuing to improve.

Looking ahead for the rest of the year, they are saying that the healthy market conditions we are currently experiencing are unlikely to change very much and they, therefore, expect to see continuing high levels of business.

Market conditions are, however, not consistent across the whole of the county.

NAEA President, Jim Atkins, said:

The market is particularly buoyant in London, the South East and the South West and in some "hot spots" around the Midlands and the North. However, it appears vendors are remaining realistic with nearly 80 per cent taking the advice of estate agents on asking price.

Elsewhere, the property market will reflect the local economic conditions and, particularly in areas within Wales and the North, the property market will be markedly slower and prices will not have moved much over the past year – and in some isolated cases might even have moved downwards.

The NAEA's Web site address is www.naea.co.uk

Summary of resultsThe results of the June monthly housing market survey revealed an upturn in many of the key indicators for the residential property market – and many respondents appear confident that the market will remain strong for the rest of the year:

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  96 per cent of respondents reported that prices had risen in their area;

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  prices were reported as an average 9.5 per cent higher than June 2000;

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  66 per cent of respondents said that the market is improving in their area;

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  75 per cent of respondents reported demand outstripping supply in their area – an increase of 12 per cent on the previous month;

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  85 per cent of agents said that business levels were either up or the same as last year;

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  70 per cent of respondents reported that enquiries were up on the previous month;

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  an average 60 per cent reported that viewings and offers were up or the same as June 2001;

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  28 per cent of sales are reported to have been to first-time buyers;

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  the majority of agents expect transaction levels and prices to maintain current levels during the rest of 2001.