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Help to Buy fuels 92% annual rise in new buyer enquiries

From Property Talk Live on November 27, 2013

Average first time buyer property prices are now £152,593, up 6.1% annually and 3.2% on month according to the haart National Housing Market Monitor , November 2013.

Average UK property prices are up 11.5% annually to £191,343 with 92% more buyer enquiries in the first week of October 2013 than the first week of October 2012.

New property supply is down 1.7% on the month and first time buyer registrations are up 82.9% annually in London and 74.3% across rest of UK.

The average age of a first time buyer has decreased to 31.9 years – under 32 for the first time since April 2012. A first time buyer average mortgage secured is up 5.5% on last year.

Paul Smith, CEO of haart, with a network of over 100 branches, comments:

“October was an unprecedented month for us with the volume of buyer enquiries up a staggering 92% in the first week of October compared to the same week in 2012. However, we are currently seeing only around 35% of our valuations coming to market, when previously this was around 50%. Our message to potential sellers is sell, sell, sell as we just can’t get enough stock. Demand for first homes, in particular, is overwhelming and the supply is still extremely limited which is why the average price of such properties is up 6.1% annually. There is no doubt that the catalyst for this was the advanced launch of Help to Buy’s second phase – first time buyers are now not only getting mortgages but also getting younger – now just under 32 years old!

“Any second steppers, who provide the majority of homes for first time buyers, selling now are finding that their properties are snapped up quickly and at a very good price – our message is to act now and not wait for the New Year. The first time buyer comeback is definitely not abating and this is the message that sellers need to hear to oil the market sooner rather than later and to keep a lid on rising prices.”

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Source: Property Talk Live