Recent data from the RICS Residential Survey indicates a positive shift in the UK housing market, marking a potential turnaround in trends.
- October saw a modest increase in new buyer enquiries, continuing a four-month trend of improving buyer demand.
- Sales volumes showed a third consecutive increase, with a net balance of +9% of respondents noting higher sales.
- House prices experienced a net balance rise of +16% in October, signalling growing momentum in the market.
- There is an optimistic outlook for continued house price increases over the next three months, despite economic uncertainties.
The latest data from the RICS Residential Survey indicates a positive shift in the UK housing market, marking a potential turnaround in trends. This survey, conducted in October 2024, reveals signs of improvement in several key market areas that have previously languished. The data suggests that despite economic pressures, there might be a more stable and encouraging backdrop for the housing market moving forward.
New buyer enquiries have been on the rise for four consecutive months, as evidenced by a +12% balance in October, only slightly lower than the +13% in previous months. This uptick is considered a modest yet consistent trend, suggesting increased interest from potential buyers who are gradually returning to the market.
Sales volumes have also followed an upward trajectory. The survey notes a net balance of +9% of respondents reporting increased sales, building upon last month’s +5%. This marks the third consecutive month of positive growth in sales volumes, which, while modest, provides a glimmer of optimism for the market’s future stability.
The rise in house prices is another critical highlight, with the net balance reading at +16% for October. This improvement is notable against the backdrop of zero and +11% in the months prior. The momentum is particularly firm in regions like Northern Ireland, Scotland, the North East, North West, and London.
Looking ahead, a growing number of survey respondents believe that house prices will rise in the coming three months. Emma Cox, MD of Real Estate at Shawbrook, stated: “Despite uncertainty in the run-up to the Budget, optimism continued to encourage new buyer enquiries and sales figures to grow in October as aspiring and current homeowners look to tie up transactions before the end of the year.”
The UK housing market shows signs of improvement with positive trends projected to continue, despite ongoing economic uncertainties.
