Despite the trials and tribulations that many developers and house builders face in the UK, supply in the country’s housing market reached its highest level since March this year, writes property developer Richard Carr.
Property supply on the up – but will it continue?
The number of new homes available to buyers increased by 41% in August, which is the highest level experienced by estate agents since March 2016 when there was an average of 54 properties registered per branch.
This has resulted in there being an increase in the number of first time buyers with the National Association of Estate Agents (NAEA) reporting that the number of sales made to new property owners increased in August from 25% of total sales in July to 28%.
The country’s lack of housing supply is coming under increasing pressure as more first time buyers enter the market, writes property developer Richard Carr.
Is there enough supply to cope with the demand?
Data from the Halifax shows that the number of first time buyers in the UK increased by an estimated 10% in the first six months of 2016 compared to the same period 12 months ago.
This year there was just under an extra 15,000 first time buyers entering the market, taking the overall figure to 154,200. That’s more than double the market low which was recorded during the first half of 2009.
Since the same period in 2012, the numbers entering the market has always exceeded 100,000, however the market is yet to better its peak of 2006 when over 190,000 first time buyers were stepping on the ladder.