The supply of available homes is at the lowest level for March since records began in September 2002.
According to figures from NAEA Propertymark, the number of properties available to buy on estate agents’ books decreased to 39 in March, down from 44 in February.
Year-on-year, supply is down 28% as agents had 54 properties available to market last March.
The number of house buyers registered per member branch fell in March as well. Estate agents had an average of 397 prospective buyers on their books last month, compared to 425 in February.
A year on since the higher rates of stamp duty for additional properties was introduced, two-thirds of agents have seen demand for properties from buy-to-let investors decrease.
This has provided the opportunity for more first-time buyers get a foot on the housing ladder, suggesting the government’s crackdown on the buy-to-let sector is having its desired effect.
The proportion of sales which were agreed for first-time buyers has risen to 25%, up from 22% in February.
Mark Hayward, chief executive, NAEA Propertymark said: “There are currently 10 house-hunters chasing each available property, and with supply at the lowest level for March since records began, building more homes to satisfy demand needs to be a priority.
“In line with this, while sales to first-time buyers rose slightly in March, they’re still much lower than the levels seen in the last three months of 2016 which is cause for concern. The upcoming General Election is a good opportunity for each party to outline their plans for tackling the housing crisis – we hope to see it prioritised so we can make the market a better place once and for all.”
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