On CML gross lending figures issued today, Tuesday 20 July, Adam Challis, Head of Research at Hamptons International, comments.
“CML gross mortgage lending figures show a continued growth in demand from new buyers. Gross lending is up 15 per cent month on month and seven per cent from June 2009. This has been helped by the abolition of Home Information Packs and the improving number of new mortgage products available.
These figures show that market demand remains strong. However, the supply of properties also continues to grow, more than offsetting this increase. In June, Hamptons averaged more than eight new buyers per new instruction. This is down 13 per cent from June 2009, but nearly 40 per cent above the June 2008 level.
An increasing supply has meant that asking prices are being adjusted down by up to five per cent in some locations. Sellers need to be realistic in order to attract buyers.
We anticipate a house prices adjustment through the second half of the year, more than reversing the gains since January. We expect prices to end up 1%-2% lower over the course of the year, before returning to moderate growth of 3% - 4% in 2011.”
For media enquiries please contact:
Adam Challis
Head of Research
Phone: 0207 758 8413
Email: challisa@hamptons-int.com
Aisling Gray
PR Manager
Phone: 0207 758 8422
Email: graya@hamptons-int.com