Figures that have been released by HM Revenue & Customs have revealed that home sales have hit their highest monthly level of the year so far in November. During last month there were 85,000 property sales, up from 79,000 in October.
Sales Have Decreased in 2011
However, before we get too carried away in thinking the housing market is about to lift off the ground, we must consider the fact that the number of sales between January and October this year were lower than the same period last year. Last year there were 810,000 sales between January and October, whereas this year, there were only 787,000 sales. It seems more people have stayed put this year and with it property insurance quotes will have remained unchanged.
Therefore this gives us evidence that the property market has been rather subdued for quite some time.
It seems that we are in the midst of a constant struggle between house prices that are too high for buyers to afford, and high mortgage requirements. Since 2007 sales have declined due to the rationing of mortgages and the reluctance of many sellers to reduce their asking prices.
Buyers have also been less willing to make large purchases due to the unstable nature of the economy and uncertainty surrounding their jobs. This has therefore resulted in hesitation and reluctance when it comes to buying property.
Turning Point?
These latest figures from HM Revenue & Customs have actually revealed however that there were 9,000 more property sales in November when compared to the same month in 2010. The monthly total of property sales in November was the highest it has been since July 2010. So when put like this, perhaps things are finally, after an awfully long time, looking up for the property market.
This is something that will be realised in coming months. If sales continue to stay as high, or even better, rise, then we can begin to feel positive about the property market moving out of the doldrums. This will hopefully give prospective buyers and sellers more confidence.
Pingback: Property Markets Depend on Location « PropertyQuoteDirect – Landlords & Buy to Let Insurance Blog