Property valuation activity is recovering nicely after the cool down at the start of this year, according to the latest research from Connells Survey and Valuation.
Valuations for first-time buyer properties have gone up by 52 per cent compared to January and valuations in the homemover sector of the market have jumped 59 per cent month-on-month.
Remortgaging (48 per cent) as well as buy-to-let valuations (41 per cent) also were well on the way of recovery from the first few weeks of 2015.
Compared to February last year, only buy-to-let valuations were higher (up 8 per cent) and activity in all other sectors of the market was lower. First-time buyer valuations marked the smallest decline of only 3 per cent year-on-year, followed by homemover valuations (down 8 per cent). Remortgaging saw the biggest drop of 10 per cent.
The total number of valuations in February was 51 per cent higher on the month and 4 per cent lower on the year.
John Bagshaw, corporate services director of Connells Survey & Valuation, comments:
“After an extended period of fairly subdued activity it is encouraging to see the market shake off its winter blues. It is especially positive that all the sectors posted big gains. The first quarter is normally a strong one so after a relatively weak January it is reassuring to see February come back so strongly.
“The market always likes to see a lot of fresh newcomers enter the scene. The rebound in first time buyer activity will give the market a spring in its step as the seasonally cooler winter market comes to an end. To put this rise in perspective the last time the sector saw such a boost in activity was in the rush before the Funding for Lending Scheme (FLS) stopped mortgage funding at the end of January 2014.
“The recently announced “Starter Homes” project should provide more additional support to the sector. Although the scheme is fairly moderate in size the 20% discount being offered to first time buyers under the age of 40 provides a welcome sign that the government is keen not to be seen to turn its back on first time buyers.”
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