Supply Crisis in Housing Market as Stock Levels Drop and Demand Rises
Supply Crisis is how estate agents in the UK are describing the current housing market following the latest report from National Association of Estate Agents.
It claims that there are on average ten buyers going after every single property that comes on the market, but the lack of property is causing a supply crisis.
Mark Hayward, managing director of NAEA said;
“It’s very normal at this time of year that demand is high and supply is low.”
“House hunters hoping to find their dream property in the New Year have registered interest with agents, whilst those hoping to sell are holding off putting their properties on the market before January.”
“However, supply is outweighing demand so heavily now that it can’t solely be attributed to seasonality.”
“It’s clear that we are faced by a supply crisis here, and the housing market needs addressing as a matter of urgency.”
“Our recent Housing 2025 report compiled with Association of Residential Letting Agents and Centre for Economics and Business Research found that by 2025, house prices are set to rise by 50pc.”
“If we don’t act now, this will impact first-time buyers, second steppers and last steppers, forcing many out of home ownership.”
Supply Crisis is impacting house hunters in Beverley
Estate Agent of the year Northwood Property that are based in the Georgian Quarter of Beverley highlighted the lack of supply locally.
They say there is not enough supply to cope with the demand given the popularity of people wanting to live in Beverley.
Mr. Hayward, however, feels that despite the government pledges more needs to be done to solve the housing supply crisis being felt across the UK, he said;
“The Government has made efforts to address the issue of supply and demand, with Osborne outlining plans to build 200,000 new starter homes in his Autumn Statement.”
“However, four-fifths of our agents think it simply isn’t enough.”
“It is all very well planning to build houses, but we need to move to action and get and the bricks and mortar on the ground, if we are to solve the supply crisis we are faced with.”
