Buy-to-let
September 2014 has seen a rebound in valuations activity on a monthly basis, according to the latest research from Connells Survey & Valuation.
Total valuations increased by 42 per cent in September compared to August. However, this was not enough of a seasonal rebound to take valuations volumes ahead of September 2013.
On an annual basis, housing market activity has decreased by 12 per cent, a steeper fall than the 4 per cent annual drop seen in August 2014.
John Bagshaw, Connells’ corporate services director, says sustainability is “the new watchword” for the housing market.
“Higher interest rates are getting closer and caps on mortgage-to-income ratios officially come into force in October – both closely following [the Mortgage Market Review] which has now become a settled feature of the landscape.
“In particular a base rate rise isn’t just a factor for the financial world. In the property market, buyers and sellers are increasingly factoring in slightly higher interest costs and a potential slowdown in house price growth.
“Steadier progress isn’t necessarily bad news. Autumn last year was exceptionally good for housing market activity. Now, as the UK searches for a long-lost measure of normality, the housing market is displaying sensible levels of caution – a healthy and often life-preserving characteristic. Stability will be important as activity keeps growing into 2015.”
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BY THE NUMBERS
Remortgaging was up 57 per cent from August, but down 9 per cent since September 2013.
First-time buyers were up 39 per cent since August, and down 13 per cent compared to September 2013.
Home-mover activity was up 32 per cent compared to August, but down 13 per cent compared to September 2013.
Buy-to-let was up 38 per cent on August but down 15 per cent on September 2013.
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