Potential house buyers out in force in the sun



RICS

RICS

The beautiful sunshine in April saw more and more potential house purchasers viewing new homes revealed the Royal Institution of Chartered Surveyors (Rics).

The surveyors did note that despite the increase in the number of home viewings, difficulty in obtaining the right mortgage required to purchase the house would hinder the majority of buyers.

Rics added that they thought only those in a “cash rich” situation would be able to take advantage of the current low property prices.

Surveyors are still split on how the market will turn in the next few months, although a larger number believe the housing market will drop in value over the next three months.

The surveyors report noted that sales had increased in April, as had sales and demand of properties, although the fact Spring is a traditionally busy time for house buying, and the current low prices contributed to this increase.

Michael Newy, spokesperson for Rics explained that the increase also only came from a relatively low base.

“The return of sellers to the market is positive, but activity still remains subdued and it is difficult to see it picking up materially over the coming months,” he said.

“Although there are signs that some lenders may be reducing their grip on the purse strings, in particular with mortgages aimed at first-time buyers, there is still a long way to go before lending levels increase enough to have any real impact.

“Economic uncertainty may also continue to weigh on sentiment for a while to come.”

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