RICS Residential Market Survey April 2019

It is as you were in respect of the property market as the RICS Residential Market Survey reports that market sentiment is little changed following the Brexit extension.

The Royal Institution of Chartered Surveyors (RICS) UK Residential Market Survey April 2019 comprises This survey sample covers 405 responses from 722 Chartered Surveyor branches who operate in the residential sales and lettings markets.

Market Survey shows buyer enquiries and sales are still negative with decline in new listings

The RICS UK Residential Market Survey shows that indicators on buyer enquiries and sales are still negative with new listings continuing to decline. The conditions remain even more challenging at higher price brackets too.
The report goes on to say that Brexit uncertainty and a lack of available stock to purchase remain the key constraints, meaning little change in momentum is anticipated in the near term. However, they do also say that expectations are at least slightly more positive at the twelve month horizon. We hope they are right.

The RICS say the national house price net balance came in at -23% in April (equal to the figure posted in March), signalling another gradual moderation in headline house prices over the month. The regional breakdown again shows prices under pressure particularly in London and the South East, while the South West has now consistently returned negative readings on this measure for the past six months. At the same time, feedback across Northern Ireland and Scotland continues to buck the trend, with respective net balances of +47% and +28% of respondents reporting a further rise in prices.

Back at the national level, feedback from contributors continues to point to higher priced tiers of the market encountering a more challenging backdrop at present. Indeed, for properties marketed at over £1m, 66% of respondents reported sales prices were coming in below asking prices, albeit this is slightly down on 73% six months ago. However, for properties listed at up to £500k and below, 62% of survey participants report sales prices have been at least level with asking (up from 57% in October 2018). Nevertheless, a still noteworthy 28% stated sales prices were coming in up to 5% below.

The RICS UK Residential Market Survey for May will be released around the 13th June and we look forward to seeing how things have progressed. In the meantime, you can read the RICS latest news here.

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