New property listings in the UK have slipped for the second successive month since the General Election, according to new research.
Data released from online estate agents HouseSimple indicates that new listings fell by 1.6% in July, following a fall of 1.9% in June. This suggests that the expected boost to the market following the election has not materialised.
Many property sellers put off marketing their properties before the vote, but the resulting hung Parliament and continuing Brexit uncertainty is still deterring both buyers and sellers from the market.
Of the 100 towns and cities covered by the HouseSimple Index, more regions saw an increase in supply in July compared to June. However, supply as a whole fell across the country, led by a 30% month-on-month slip in Newquay and 25.6% drop in King’s Lynn .
On the other hand, Dundee saw new listings almost double to 96.9% in July, while Truro in Cornwall saw a rise of 55.2%.
In London, supply fell at more the twice the rate of the UK average during July, down by 4% compared to figures seen in June. Outer boroughs saw the largest rises, with Redbridge and Sutton recording rises of 22.7% and 13.2% respectively.
Alex Gosling, Chief Executive Officer of HouseSimple, observed: ‘Right now it feels like sellers aren’t really sure what to do. There is so much negative press around Brexit and very little confidence in the Government after such a calamitous election campaign; and fear and uncertainty is weighing heavily on house price growth.’
‘We were expecting to see a late spring boost in new properties being listed in June and a stronger than usual early summer, but neither has materialised. Sellers are in limbo. However, it does already feel like a semblance of normality is starting to return to the market, and by the end of the summer the election will be a distant memory so we could well see a strong September in terms of activity,’ he continued.
Concluding, Mr Gosling said: ‘At the end of the day, life goes on, and the message to anyone thinking of selling is don’t delay a move simply because you’re worried what the market is going to do next. If your property has dropped 5% to 10% in value, it’s likely prices will have dropped in the area you’re buying. If you see a place you want, then try and negotiate with the seller to factor in that drop.’