Fewer thirtysomethings will buy, says report
The government has forecast that the proportion of couples in their thirties able to afford to invest in property will fall to approximately one-third by 2026. The prediction comes as the government released its housing market projections based on the findings of the Barker Review into housing supply.
Meanwhile, property insiders and experts said politicians could do more to alleviate the plight of home buyers generally and first-timers in particular. Peter Bolton King, chief executive of the National Association of Estate Agents, says, ‘It’s good to see the government is taking note of the Barker Review findings and current housing market conditions to help to ensure as many people as possible can afford to own a home in the future.
‘We have great sympathy with the first-time buyers of today and have constantly called on the government to give them a helping hand onto the property ladder. When basic stamp duty threshold increased to £120,000 earlier this year it assisted first-time buyers in certain areas but did little for those in East Anglia, London, the South East and South West, where the price of property is in excess of the stamp duty threshold.
‘We would like to see the government bring in further shared equity schemes and streamline the planning system to allow changes to be implemented more quickly. Any imbalance in the amount of housing stock available can only lead to further house price increases – a scenario that is detrimental to the government’s new objective and the overall property market.’
Autumn revival in housing market seen
The housing market is undergoing an autumn revival with marked increases being recorded in the numbers of viewings, offers and sales, according to the latest survey by Home Sale Network, a network of 750 independent estate agents.
All respondents to the Network’s latest survey have seen viewings increase during August and September, with almost a quarter (24 per cent) reporting a rise of more than ten per cent. Five per cent of members say viewings have risen by up to 25 per cent.
Likewise, none of the survey respondents experienced a drop in the number of offers being made on properties over the same two-month period, with 71 per cent reporting that offers are up by up to ten per cent and another 24 per cent recording a rise of up to 20 per cent. Meanwhile, more than three-quarters of Home Sale Network members (77 per cent) experienced an increase in agreed sales in August and September, with almost one-third (29 per cent) experiencing a rise of up to 20 per cent on the previous month.
This latest Home Sale Network survey also brings encouraging news on house prices, with over two-thirds (68 per cent) of members forecasting that average prices will remain stable for Christmas.
Richard Tucker, Managing Director of Home Sale Network, comments: ‘These findings bear out what our agents have been telling us in recent months: that viewings, offers and sales have all been on the rise during what has normally been a quiet period for the property market.
‘Clearly there is no likelihood of either a ‘crash’ or a ‘‘boom’ in property prices; the market is stable and calm as we head towards the end of the year and this is definitely a good time to buy or sell a home.’