The latest official transaction data from HMRC reveals that the provisional seasonally adjusted UK property transaction count for October 2015 was 105,490 residential and 10,160 non-residential transactions. However, sales still remain significantly below the monthly tally of almost 150,000 recorded at the height of the property boom in 2006.
This means residential purchases in October fell month-on-month by 0.2 per cent but on a 12 month basis rose by 6.3 per cent comparedwith the 99,290 recorded in October 2014.
“In October 2014, the residential market cooled slightly following a busy summer – but this year the market shows little sign of slowing down,” said Brian Murphy (left), Head of Lending at Mortgage Advice Bureau.
“Demand from potential buyers remains high, with many taking advantage of the excellently priced mortgage rates available on the market,” he added.
Despite a slight correction in property transactions on a monthly basis, the UK housing market remains “head and shoulders above a year ago”, as buyers take advantage of a wave of “low interest rates and attractive mortgage products”, according to Peter Rollings (right), CEO of Marsh & Parsons.
Andrew Bridges, Managing Director of Stirling Ackroyd, said that the number of people in acquiring new homes is the “most permanent symptom of success” in the housing market.
He commented, “And on that measure the news is good – the residential market is moving again, with transactions growing at least as quickly as annual price rises across the UK.”
In London, the property market continues to be supported by strong buyer enthusiasm, including from first-time buyers despite high house prices.
Bridges continued, “The danger of stamp duty changes frightening away buyers at the very top of the market has also not been as serious as was imagined – particularly away from London’s more traditional high-end enclaves, the top of the market is accelerating too.”
But Stirling Ackroyd’s Managing Director warned that there are simply nowhere near enough new homes being built to “stave off future floods of demand”.
“If numbers matter to the property industry, they matter even more to families and workers looking for places to live. To keep up with the pace of population, numbers need to start mattering to planning offices, to government departments – and to ministers,” he added.