The number of properties entering the market for sale has climbed to its highest level in five years, according to the latest Experian Property Index.
There were 229,939 new homes for sale in the period between January and March 2015, higher than all quarterly figures since the first three months of 2010 and up 5.2 per cent on the first quarter of 2014.
However, while the number of properties entering the market overall has been on the rise, there has been a slight reduction in more affordable properties available. The number of homes for sale between £100,000 and £250,000, and homes valued under £100,000, saw decreases of 2.5 per cent and 2.9 per cent respectively.
Higher-value properties on the other hand have experienced strong growth. Homes valued over £500,000 saw the biggest boom in 2015, with the number of homes coming to the market for sale in this price band increasing by 20.4 per cent year-on-year. Homes priced between £250,000 and £500,000 experienced a 17.4 per cent annual increase. The increase in these price bands could be due to the stamp duty changes, in force since the the end of last year, according to Experian.
Jonathan Westley, managing director of consumer information services at Experian UK & Ireland, comments: “The dismantling of last year’s supportive housing schemes and stricter lending criteria in place mean that for many of the people looking for more affordable housing, demonstrating their eligibility for mortgages is going to be key. Mortgage applicants must show themselves in the best light to lenders, for instance having a strong credit score, and it is just as important for lenders to support borrowers through the process as best they can. Lenders must ensure they fully understand the applicant’s individual circumstances, particularly their ability to manage the repayments now and in the future, before granting a mortgage.”
In a regional comparison, the South East saw the largest number of properties coming onto the market, with 30,783 homes for sale, a 6.8 per cent increase on the first quarter of 2014. The Outer Metropolitan region saw the largest percentage increase, of 14.8 per cent.
Percentage change in the number of properties for sale entering the market from the first quarter of 2014 to the first quarter of 2015.
| From Q1 2014 to Q1 2015 | >£100k | £100k-£250k | £250k-£500k | <£500k | Total |
| East Midlands | -11.54% | 1.06% | 20.71% | 12.75% | 3.39% |
| East of England | -14.98% | -7.96% | 22.63% | 25.28% | 4.25% |
| London | -32.66% | -40.39% | 12.38% | 22.28% | 7.25% |
| North East | 9.69% | 5.07% | 2.17% | 0% | 6.18% |
| North West | 10.30% | 14.69% | 18.54% | 11.47% | 14.05% |
| Outer Met | -43.57% | -22.10% | 39.94% | 24.75% | 14.74% |
| Scotland | -16.75% | -8.31% | 15.81% | 31.37% | -7.20% |
| South East | -25.09% | -10.25% | 19.75% | 25.17% | 6.79% |
| South West | -20.01% | -4.97% | 18.58% | 16.80% | 3.28% |
| Wales | 4.42% | -2.21% | -1.24% | -0.26% | -0.69% |
| West Midlands | -11.07% | 0.88% | 12.03% | -7.79% | 0.74% |
| Yorkshire and The Humber | 2.49% | 1.74% | 8.90% | 25.48% | 3.74% |
| UK | -2.86% | -2.47% | 17.36% | 20.43% | 5.16% |
