Surge in new supply?

What a difference the weather makes! The last two days of sunshine have seen a massive increase in estate agent activity, mainly taking on new properties for sale. One agent we spoke to said that one particular property had been delayed coming to the market by 5 weeks, as successive photo opportunities had to be postponed.

What will all this mean? Rightmove reports prices going up while the Nationwide reports prices coming down. Certainly Rightmoves's figures are based on "asking" prices so need to be taken in context. It won't take much to tip the equilibrium to excess supply over demand and if the improved weather does see a surge in supply from those wanting to beat the election deadline, then prices may well drop. Prime unblemished property, however, particularly in central London as well as period gems in the country surrounded by their own land will always attract interest and will be insulated from possible falls. So our advice remains the same.....shop around, buy in the best location you can afford and be prepared to exchange contracts quickly to snap up those deals. Such deals are on their way.