Summer may be a distant memory but it was an important period in the UK property market. Surrey estate agents Grosvenor Billinghurst look back at August activity to see how it may influence the coming months.
The property market didn’t conform with the traditional summer slowdown in 2019, with many buyers and sellers adopting a ‘just get on with it’ attitude. In fact, sales jumped by one-third between July and August this year, signaling a ‘significant recovery’. It’s a trend we witnessed, with our county’s excellent appeal keeping interested in Surrey property for sale.
Transactions pick up in August
In terms of transactions, all the action was in August. After a relatively subdued July, completed transactions jumped by 32% in the following month. HMRC property transaction data recorded 117,100 UK residential sales on a non-adjusted basis in August 2019. It’s worth noting that transaction levels were slightly down on an annual basis - by 0.4% - although we expect this figure to climb as of late summer and early autumn sales complete.
Completed sales are on the rise
Transactions are, in part, underpinned by the success and speed of home loan applications. August’s figures seem to show that the recent increase in mortgage approvals are starting to filter through, as all UK regions registered a monthly increase in completed sales. There was a 38% boost in Scotland and a 32% rise in England, while Wales saw sales rise by 9.8%.
Over 40,000 mortgages approved in August
Staying with mortgages, the home loan market is described as ‘firing on all cylinders’, despite mortgage approvals slipping slightly from a ten-year high. The lending mood continues to be positive, however, as approvals are up annually and the interest rate remains low. According to figures from trade body, UK Finance, High Street banks approved 43,957 mortgages for house purchase in August 2019 - up 3.2% compared with last year.
The waiting game is over
We’re predicting that Surrey property for sale won’t hang around as we move through autumn, with indications that purchasers have had enough of waiting, resulting in a release of pent-up demand.
If you want to move to Surrey or you have a property in the county that you’d like to sell or let, contact Grosvenor Billinghurst today - Woking, Cobham, Hinchley Wood, and Claygate estate agents.