Industry experts see positive market outlook
There was a slight increase in UK residential property transactions for September 2024, marking the first month-on-month rise since May, according to new data from HM Revenue & Customs (HMRC).
Seasonally adjusted residential transactions rose by less than 1%, from 91,020 in August to 91,820 in September. However, non-seasonally adjusted residential transactions fell by 9% in September compared to August.
In the non-residential sector, seasonally adjusted transactions saw a stronger month-on-month increase, up by 5% in September. Non-seasonally adjusted non-residential transactions also rose, showing a 9% increase from August levels. Compared to September 2023, seasonally adjusted non-residential transactions were up slightly by less than 1%.
“The latest data from HMRC offers another positive sign of market recovery, in line with the two-year high in mortgage approvals,” said Josh Skelding (pictured left), commercial director at mortgage software provider Fignum. “The July rate cut is already having a visible impact on transactions, with September’s figures suggesting that homebuyers are keen to take advantage of these improved borrowing conditions, and commercial investors are likely to follow in their footsteps if rates continue to ease.”
Chris Little (pictured centre), chief revenue officer at finova commented: “The UK property market once again stood its ground in September, and the sector’s overall health is in robust shape. We are beginning to see the return of sub-5% products into the market, and for those who are willing to dig a little deeper, rates as low as 3% may also be available.
“In the immediate aftermath of the Autumn Budget, it’s difficult to know how the government’s new policy changes will impact market activity. Nevertheless, affordability is still a sticky issue, and it is our hope that the changes to Stamp Duty will not put a restraint on aspiring homeowners.”
For Andrew Lloyd (pictured right), managing director at property data and insight provider Search Acumen, yesterday’s budget has ended weeks of speculation, providing further stability, with policy affecting the next few years in government, being set and disclosed.
“Rachel Reeves’ plans to get Britain building again will be a key driver for sections of the housing market, with a promise of a significant £5 billion investment setting the tone for the months ahead, while the promise of further business rates relief will be welcomed by affected commercial property occupiers,” he said. “Combined with steady interest rate reductions, we are starting to see a more positive outlook for the industry.”
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