Confidence returns to market
The average asking price for UK non-commercial properties rose by around 2.4% (This figure rises to over 5% for regions like East Anglia) which represents the largest rise for more than a year. I stress this was asking price rather than sale price, but this surely shows that confidence is returning to the market during the peak selling/buying period of summer. Whether this is just the busy time of the year and not an upturn it still helps the industry and the finance industry.
There will be plenty of deals done during the next quarter, people are not accepting the recession bunker mentality-unless you or your partner lose your jobs then belt tightening will be all that is required. The number of mortgages approved rose to a 10 month high, so there are still sales being made.
The fact that prices are down means there are more overseas buyers and government schemes to put government workers into housing and the usual speculators. Low prices are just another challenge, unless you are selling up and NOT buying such as pensioners, in which case the rapid rise during the last 10 years will have been misleading. More importantly loss of jobs and the pensions crash has hit millions with a real re-think of their future needed.