Residential property prices recorded their fastest rate of growth since 2006 last month, while sales also rose to a multi-year high, a new survey shows. The Royal Institution of Chartered Surveyors' seasonally adjusted house price balance climbed to +40 from a slightly upwardly revised +37 in July, staying at its highest since November 2006.
The balance reflects the percentage of chartered surveyors reporting increases, not decreases in property prices.
The housing market recovery continued last month, with residential property prices in Britain appreciating at their fastest pace since they hit a peak in 2006, supported by Help to Buy and other government-backed schemes.
There were further signs that the UK housing market is firmly on the road to recovery last month, with home prices rising on the back of greater demand, according to the latest RICS Residential Market Survey.
Property prices are rising at their fastest pace in more than three years, with 21% more chartered surveyors reporting that prices rose rather than fell in June, making this the strongest month for house prices since January 2010.
New home registrations in the UK soared to a five-year high in the first quarter of this year, increasing by 22% year-on-year, fresh data shows.
Despite the sluggish nature of the UK economy, residential property prices are expected to continue rising in 2013, albeit marginally, according to the Royal Institution of Chartered Surveyors (RICS).
With a chronic shortage of new homes in relation to growing demand for housing, RICS estimate that the property prices will appreciate by 2% over the course of next year while the cost of renting a home should increase by around 4%.
If you are thinking of entering the buy-to-let market, now could be a great time to do so. Two recent property market reports have shown that investors are set to make steady returns over the next decade as increasing rents and a house price recovery boost the sector. With competition between buy-to-let mortgage lenders resulting in falling interest rates, it could be the perfect time to buy.
Could now be the perfect time to join the buy-to-let revolution? New research has found that the buy-to-let market represents a growing share of the UK mortgage market and that rents in the UK are continuing to rise. Cheap homes, competitive buy-to-let mortgages and rising rents make it a great time to invest in a rental property.
Homebuyers rushed to beat the end of the stamp duty holiday in March pushing new buyer enquires higher, with 9% more surveyors reporting increases rather than decreases in demand. This is the highest reading in almost two years.
The end of the stamp duty holiday for first-time house buyers means that they will join other homebuyers in paying 1% tax on properties worth between £125,000 and £250,000.
Surveyors expect residential property sales in England and Wales to increase over the next few weeks ahead of the end of the stamp duty holiday on 24 March.
According to the Royal Institution of Chartered Surveyors' (RICS), sales expectations for the next three months were at their highest level since May 2010, with many first-time buyers expected to secure a new home before the 1% stamp duty rate for first-time buyers, on homes worth between £125,000 and £250,000, is reintroduced.
A shortage of new homes coming onto the market is a main driver for booming rental prices, as more people are forced into rental accommodation, according to a new RICS Residential Lettings Survey released today.
Tenant demand is soaring as more people are priced out of the housing market, due to high property prices, caused in part by a lack of new build homes in relation to demand, and a lull in mortgage lending.