Market gains momentum

The UK property market is gaining momentum according a preview of figures from the National Association of Estate Agents (NAEA) monthly housing market survey. Buyers on books, housing stock and sales all increased in January in a reassuring upward trend.

After a seasonally slow December, the market is beginning to pick up again, with the number of house buyers up 11% in January and first time buyers accounting for 14.5% of all sales, a rise of just over 3% for the same period last year. Meanwhile, housing stock increased by 9% and sales were up from 5 per agent in December to 8 in January.

Peter Bolton King, Chief Executive at the NAEA, comments: “The return of buyers and particularly first time buyers early in 2008 marks a significant change in the fortunes of the market. I am confident that we have just started to see the benefit of first interest rate cut in December and the latest quarter percent decrease in February will further help boost the confidence of all buyers and particularly first time buyers.

“Our advice to all buyers is that whilst we have been seeing a number of negative national stories about the housing market recently, it is important to keep it in perspective. The truth is that the market differs significantly across the UK and prospective buyers really need to talk to their local agents and find out what’s happening in their region - they may find the situation is not nearly as dire as some would have us believe.”