South East: RICS expects sharp rise in house sales

The majority of surveyors in the South East are expecting a sharp increase in house sales over the coming months, with the net-balance reading climbing to 72%. This is according to the RICS September 2013 UK Residential Market Survey, and is the most positive result since the series began. 

Alongside this, the number of surveyors seeing a rise in house prices in the South East is at the highest level for nearly four years, since November 2009, as 78% more respondents report rises rather than falls. Prices are expected to continue to rise in the region as 59% more predict prices to continue their push upwards over the next three months – the highest level since October 2009.

Prices have now steadily increased since November 2012 and, significantly, this growth was seen right across the UK. Last month, every part of the country saw prices go up, with the exception of the North East where prices fell modestly for the second successive month.

Unsurprisingly, with government schemes such as Help to Buy enabling more buyers to access the market, demand remained steady, as a net balance of 42% more surveyors reported rises in new-buyer enquiries. The amount of homes coming on to the market has remained steady – with 16% more respondents reporting rises in new instructions rather than falls – but was not enough to keep pace with the burgeoning level of demand.

Peter Bolton King, RICS global residential director, said: “It’s encouraging that the market is starting to improve in all parts of the country with more buyers looking to make a move and more sales going through. Even so, it’s a big concern that the supply of property coming to the market is lagging so far behind demand. This imbalance is likely to result in further upward pressure in prices over the coming months, particularly in the nation’s hotspots.”