Lack of stock is bolstering the real estate market in London with multiple buyers chasing every property available for sale, according to a new report.
And despite speculation that house prices would fall in 2011 it has been a positive start to the year for the London sales market with D&G reporting the highest number of applicants it has seen in over a year and three times more than in December.
Its London Property Barometer for January shows that although it is not uncommon to see an increase in both buyers and sellers in January, it appears that many of those buyers are now genuinely ready to enter the market having realised that mortgage rates are on the way up and therefore having booked their rates they now need to spend within six months.
‘Lack of stock remains the key issue for the London sales market with our figures showing almost five buyers for every property available for sale. This lack of stock continues to be caused by the inertia of low interest rates and consequent low mortgage rates,’ said Ed Mead, D&G director.
Source: Property Community