Glut of properties for sale building up in London and South, says Rightmove
Homes are taking longer and longer to sell in the south, the portal says, while in the North they're being "snapped up".
Many southern regions of the UK are experiencing a glut of stock as homes take longer to sell, it has been revealed, including in the East of England where there are 25% more properties on agent’s books than a year ago.
And in the South East there are 20% more homes on the market than in May last year, the latest Rightmove house price index reveals, both figures driven by an overall year-on-year 2% reduction in the number of homes being sold.
The glut of properties is also significant in the South West (+8.2%) and London (+16.4%).
Rightmove also says that the UK is operating as two distinct markets. In the north and Wales activity remains stronger than in the south including in Scotland, the West Midlands, the North East and North West.
Consequently the number of properties available to buy in these regions is lower than a year ago, including in the Scotland and Wales, where there are 10% fewer homes to buy when compared to last May.
But despite the “challenging” conditions in the south, Rightmove says overall the Spring market has not been the disaster that many agents had feared.
“Sales agreed by estate agents overall in May have bounced back from a slower start to the year and while still slightly below May last year they are ahead of 2016,” says Rightmove spokesperson Miles Shipside (pictured, left).
“This is a pleasingly strong flourish at the end the spring selling season given the political uncertainty and stretched buyer affordability.”
Industry reaction
Patrick McCutcheon of Yorkshire estate agent Dacre, Son & Hartley (pictured, right) says he believes the current lack of homes for sale on his patch is a trend that first began a year-and-a-half ago in the South and Midlands.
“It is now clear that the phenomena has migrated northwards, and the first few months of 2018 have witnessed a noticeable reduction in the number of homes being listed,” he says.
Mark Reading of online agency HouseNetwork (pictured, left) says: “We are seeing less sales aborted in 2018 with our current sales withdrawal rate at 15% compared to 22.5% last year. Buyers appear far more committed, so while there is a small delay in sales completing the chances of doing so are higher, so the market is in a better place than expected.”
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