The number of prospective homebuyers registering with estate agents rose in July, as did the number of agreed house sales, data found.
Propertymark’s Housing Insight report for the month showed the average number of new prospective buyers registering to each estate agency member branch increased from 69 in June to 71 in July.
However, viewing numbers stayed static at 93 per branch, while the average number of viewings per property was also flat month-on-month.
The flow of new housing supply was also unchanged in July, with around 10 homes placed for sale at each estate agency branch.
Similarly, the average number of housing stock available for sale per branch stayed the same at 41.
Indicating the level of new available housing in the future, there were an average of 22 market appraisals conducted per branch in July, unchanged from the previous month.
Increase in agreed sales
Propertymark’s report showed that the number of agreed sales rose by 5% in July to an average of four per branch, while the gap between asking prices and sales prices widened.
The firm said the time to exchange on a property had been fluctuating, but remained “historically high”.
Small fall in tenant demand
There was a slight decrease in tenant demand for rental properties in July, falling from 99 registrations per branch in June to 88 in July.
Meanwhile, the supply/demand imbalance improved slightly as an overall rise in stock levels was recorded. However, the average number of new rental property instructions continued to fall.
Demand still outstripped supply, as there were around eight potential tenants for each available rental property, slightly down from nine the month before.
There was a small reduction in the number of tenancies agreed.
Propertymark’s members reported an overall increase in rental prices, but this varied across different regions. In July, 44% of its members reported that rents had stayed flat, while 15% reported decreases.
There was a marginal increase in rental arrears, with Propertymark’s members saying around 2.5% of their fully managed and rent collect or rent management properties were behind in payments.
Void periods shortened on a monthly basis, from two-and-a-half weeks to just over two weeks.
New beginnings with a new government
Nathan Emerson, Propertymark’s CEO, said: “We entered July with a new government and the prospect of a reset in major housing policy areas. Despite this, and a wetter-than-normal July, prospective buyer registrations in the residential sales sector were up, and so too were the number of sales agreed.
“Reflecting seasonal trends alongside the anticipation of an August rate cut, most other sales metrics remained static. Although underlying demand remains strong, the gap between buyer and seller expectations continues.”
Emerson added: “Also impacted by the holiday season, the residential letting sector witnessed a 10% reduction in the number of prospective tenants registered. Regardless, there were still eight registrations for each available property. New instructions trended downward, pointing to the potential for further supply constraints and the need for policies [that] support and encourage private landlords.
“The new government has inherited a very large ‘to-do’ list, with urgent interventions required in several policy areas. Priorities include improving the home buying and selling process, the regulation of property agents, clarification around net zero funding, and stabilising investment patterns within the private rented sector. We look forward to working with the new government to tackle these and other issues.”
Shekina is the deputy editor at Mortgage Solutions and commercial editor at Mortgage Solutions and Specialist Lending Solutions. She has nearly eight years of experience in the B2B publishing market, having previously covered the hospitality, retail, pet, accounting and jewellery sectors.
Shekina has worked for Mortgage Solutions and Specialist Lending Solutions for almost five years. Here, she covers the market’s breaking news stories, engages with professionals in the sector, and oversees any commercially agreed content in partnership with mortgage-related companies.
This includes presenting webinars and hosting roundtable discussions on developing themes in the mortgage sector.
She is an NCTJ-trained journalist and was nominated for the Headline Money Awards Mortgage Journalist of the Year in 2021.
In her spare time, Shekina likes to read, travel, listen to music and socialise with friends.
She currently reports on current events in the mortgage market and liaises with financial clients to produce sponsored content.
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