Business

Supply isn't keeping up with demand for buyers, says report

A new report claims there are more prospective house-buyers in Northern Ireland at present than there are available properties

THERE are more prospective house-buyers in the north right now than there are available properties, surveyors and estate agents claim.

According to the latest Rics /Ulster Bank residential market survey, there were further rises in newly agreed sales in April, but instructions not keeping pace

New buyer enquiries for 77 per cent of respondents while 63 per cent said newly-agreed sales increased, but the survey points to the flow of properties being listed for sale as not keeping pace with buyer demand.

This mismatch between supply and demand is seen as a key factor in driving up house prices, with growth reportedly accelerating in Northern Ireland in April (79 per cent of respondents said prices rose in April).

Surveyors in the north remain generally confident for sales activity, with more than half (56 per cent) of respondents saying they expect the number of homes sold to increase over the next three months, though this is lower than the previous month (63 per cent).

Rics' regional spokesman Samuel Dickey said: “More properties are coming on to the market, but they aren't coming on at a sufficient rate to meet buyer demand.

“But as life normalises, that may encourage an increasing number of sellers to put their homes on the market, which would help boost sales and help take some of the heat out of the strong prices rises we've seen in recent months.”

Terry Robb, head of personal banking at Ulster Bank, added: “There was little change in terms of mortgage demand in the last quarter, but looking to the three months ahead, our pipeline suggests activity will continue to be strong.”

Enjoy reading the Irish News?

Subscribe now to get full access

Business