Sellers beginning to re-emerge in the property market

May 6, 2011 - PRLog -- The number of new properties coming onto the sales market increased by 4 percent in March, the third consecutive monthly increase[1], according to Countrywide, the UK's largest Property Services Group.

Across Countrywide's network of 1,300 estate agency & lettings offices, the number of new properties available to purchase increased by 37 percent compared to Q4 2010.

Overall, the residential market in March remained relatively stable with modest improvements in other key market indicators.
Whilst the overall number of sales agreed across the UK dipped by 0.8 percent, the increase in stamp duty land tax for properties above £1 million[2] saw agents reporting an influx of buyers rushing to complete sales in March.  In London and South East market the number of sales agreed increased by 41 percent in March compared to the previous month through Countrywide's premier agents Hamptons International, John D Wood & Co, Faron Sutaria and UK Sotheby's International Realty.
Countrywide operates the UK's largest mortgage broker network and the activities of its 650 mortgage consultants have revealed a 9 percent increase in mortgage applications during March. The volume of remortgage applications dipped by 2 percent in March, with applications for remortgages making up 26 percent of all mortgage applications in the month.

Applications for fixed rate mortgages dominated Countrywide's Top 10 Most Popular Mortgages[3] with all ten being fixed rate products. Findings also show that in Q1 2011, 87 percent of mortgage applications were for fixed rate mortgages, a 26 percent increase year-on-year.
In the private rental sector, the number of new tenant registering for rental accommodation remained high and in line with seasonal trends, the number of viewings conducted increasing 6 percent month-on-month.
Grenville Turner, Chief Executive of Countrywide, the UK's largest property services Group, said;
"The UK housing sector has experienced a challenging start to the year, but the surge in high value sales has helped the first quarter to come in line with our expectations, with those vendors with realistic expectations being able to achieve sales.

"Last week's surprise fall in inflation may have bought some respite for customers and increase the pressure on the Bank of England to hold off from raising interest rates in the next few months. The market remains sensitive and will continue to face challenges in the next quarter as the speed and level of growth in the housing sector is likely to continue to be impacted by the overall outlook for the UK economy."
Market Insight – March 2011

NB: As the UK's largest property services Group, Countrywide compares its monthly and year on year performance figures to provide a unique insight into the UK property market.
Mortgages: (based on the activities of the UK's largest mortgage broker with approximately 650 mortgage consultants)

o   Applications: The overall number of mortgage applications rose 9 percent in March compared to February 2011, a decrease of 16 percent compared to March 2010.

o   Interest rates:  The average interest rate of the Top 10 Most Popular Mortgages applied for by Countrywide customers fell by 0.83 percent to 4.35 percent, compared to February 2011. A 0.3 percent decrease on March 2010

o   Deposits: The average deposit required for the Top 10 Most Popular Mortgages was 23 percent, an increase of 9 percent compared to February 2011. In comparison, the average deposit in March 2010 was 21 percent.
o   Early indications: Please view Countrywide's Most Sourced Products to see daily highlights of the most popular mortgage products being sourced by Countrywide's 650 mortgage consultants.

Estate agency: (based on the activities of the UK's largest estate agency & lettings network, operating 1,300 offices)

o   Property instructions: The number of homeowners putting their properties on the market increased by 4.2 percent in March compared to February 2011. In quarter 1, the number of instructions rose 37percent compared to Q4 2010 but fell 5 percent compared to Q1 2010.

o   Viewings conducted: The number of viewings conducted fell by 2.4 percent in March compared to February 2011, a decrease of 4.24 percent on March 2010.
In Q1 2011, Viewings were 28 percent higher than in Q4 2010 but were 3 percent lower than Q1 2010.

o   Sales agreed: The number of sales agreed fell 0.8 percent in March compared to February 2011, a decrease of 6 percent on March 2010.
o   Buyer enquires: The number of new buyer applications fell 6 percent in March compared to February 2010, which was 11 percent lower than the level of applications in March 2010.

Residential Lettings: (based on the activities of the UK's largest estate agency & lettings network, operating 1,300 offices)
o   Tenant applications: New tenant applications dipped 1 percent in March compared to February 2011. However, new tenant applications increased by 1.4 percent compared to March 2010.

o    Available properties: The number of properties available to rent rose by 1 percent in February compared to the previous month - a 3 percent fall compared to February 2010.

http://www.countrywide.co.uk

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Countrywide (http://www.countrywide.co.uk) is the UK's largest estate agency and property services Group operating more than 1200 branches across England, Scotland & Wales. Countrywide's properties can be viewed on http://www.propertywide.co.uk