Propertymark’s housing report for October showed that estate agency members had an average of 64 new buyers registering per branch, down from 87 in September.
However, this was similar to activity seen in the same month last year, when there were 67 new buyers registering per branch. This represented a small drop of five per cent annually.
The average number of viewings per property fell from four to three.
There were also signs of a decline in supply as new instructions dropped from 12 in September to nine in October.
Propertymark said this indicated a “contraction in line with demand” suggesting there was now a supply and demand balance. As a result, the trade association expects there will only be “small changes” to house prices.
It was also noted that the level of new instructions was in line with the 12-month average.
The number of available properties per branch stayed flat at 30.
There were fewer sales agreed falling from 10 in September to seven in October. Propertymark suggested this was because people rushed to buy in September to get ahead of rate rises.
Some 31 per cent of houses were sold at or above the asking price per branch.
Lettings market
Propertymark said the pressure on rents would be reduced as the number of new prospective tenants registering with member branches fell by 42 per cent.
This has also been seen by estate agents, with 69 per cent reporting monthly rent rises compared to a high of 82 per cent in July.
The number of properties available to rent also declined to nine per member branch, compared to an average of 11 in September.
Power to buyers
Nathan Emerson, CEO of Propertymark, said: “For the first time, our figures indicate that we are on the cusp of seeing the sales market hand back purchasing power to buyers which is a trend we haven’t seen in months as the market was very much in the seller’s favour.
“Signs of balance within the market is also being seen as competition for homes starts to slow which will allow the number of properties available to buy to fall back in line and a return to a more realistic and sustainable market.
“As for lettings, we are now seeing a slight decrease in the number of prospective tenants registered per branch as due to the ongoing lack of supply, a hike in rent prices was seen across the UK. This should start to ease pressures on rents at a crucial time for many as the cost of living crisis continues to pinch at people’s finances.”
