BUYERS NOW HAVE A CLEARER VIEW OF THE MARKET

Following the publication of the Rightmove Property Asking Prices Survey, Chris Brown, President of the National Association of Estate Agents, said:

“This is evidence of the difficult times that sellers face in today’s troubled economic climate. We have already called for measures to help – particularly for the Chancellor to stop treating stamp duty as an immoveable feast.

“However there is a silver lining within these figures, for buyers. As sellers face up to the new economic reality and adjust their prices accordingly – it means that buyers have a clearer picture of the housing market.

“They will spend less time looking around houses with last year’s price tags attached and can have more confidence in the market. As anyone in the profession will tell you, consumer confidence is the key to market recovery.”

CHANCELLOR MUST SUSPEND STAMP DUTY

The National Association of Estate Agents (NAEA) calls on the Government to use its Pre Budget Report to help thousands of young people currently priced out of the housing market.

Chris Wood, President-Elect of the NAEA, said:

“The Chancellor must realise that the housing market is not a piggy bank for his personal use – the gravy train is over and stamp duty cannot be used irresponsibly to boost his coffers.

“The bill for first time buyers has more than doubled in the last five years, making it impossible for many young people to start their own home. As it stands, stamp duty is a tax on aspiration – disappointing during an economic boom but unforgiveable in a faltering economy.

“We have made repeated calls for a full revision of stamp duty, and the stakes have never been higher. The Chancellor must take this opportunity to give the housing market the boost it needs.

“We now call on the Government to suspend stamp duty and hold a full review into making the system work better for the consumer. That is a discussion at which NAEA would be very happy to sit at the table.”

BANKS MUST PASS ON INTEREST RATES CUTS TO CONSUMERS

Following the Bank of England Monetary Policy Committee’s decision to cut interest rates by 1.5 per cent today, Melfyn Williams, Past President of NAEA, said:

“It is good news for the housing market that the Bank of England has reduced interest rates – the ball is now in the court of the banks.

“We are calling on all of the major lenders to commit to passing these savings onto the consumers.

“That will help hard working families who want to move home, and the thousands of young people looking to buy their first property.

“It should also help address the current rash of repossession orders. This interest rates reduction, coupled with a clear move from the lenders, would send a strong and positive signal to house-hunters and owners everywhere that may result in improved consumer confidence.”

INCREASING NUMBER OF FIRST TIME BUYERS IS A REAL POSITIVE FROM THE NAEA SURVEY

Members of the National Association of Estate Agents (NAEA) reported that the housing market in September still provided challenging times for its members but that the re-emergence of first time buyers may be the first sign that the recent Government intervention is beginning to work.

The research also showed that the number of sales per agent rose for the first time since January from an average of five sales in August to six in September.

Chris Brown, president of the NAEA, comments: “It is clear that certain factors are in motion within the property market, with a decision being made on stamp duty last month, but this is still not enough. As property prices continue to drop the Government needs to take action and make some drastic changes to restore confidence.

“It is evident from the results that despite some positive indicators, consumers are still cautious with many continuing to adopt a wait and see attitude and are only moving if it is necessary. Those who are not desperate to move are staying put in their homes and waiting for some stability to be restored across all sections of the market.

“First time buyers however, seem to be returning. This is most likely due to the Government’s decision on stamp duty last month. Whilst the announcement is not applicable to all regions across the UK, it might have had an affect on this market group. For those first time buyers who have the correct finances in place, now is the perfect time to buy a home. However, the NAEA continue to urge the Government to review the market holistically and offer this group a stamp duty holiday.“

First time buyers are re-emerging

September shows that the average percentage of first time buyers on agents books is 9.5%, which is an increase from 8.30% the month before, this could suggest that the stamp duty announcement last month has had an affect and restored some confidence.
Sales per agents increases

The number of sales achieved per agent increased in September to 6. This is positive news and again reiterates that buyers are still interested in purchasing a home, if they have the correct finances in place.
The time between instruction and sale increases

In September the average time between instruction and sale rose to 14.13 weeks from 8.64 in September 2007, which indicates that agents need to work so much harder to secure a sale.
The number of house hunters continues to increase

The average number of house hunters on agents books rose slightly again this month from 207 in August to 211 in September, suggesting that there are still buyers who are interested in buying and/or who need to move.
However, this month’s figure in comparison to September 2007 is considerably less and is no doubt a result of the current state of the market and the affects of the credit crunch. It is evident that the last few months have been tough and this has affected consumer confidence. Homebuyers are still keen but many are holding back to see what will happen to the market over the coming months.
Housing stock remains stable

The number of properties on agents books has remained the same this month at an average of 91. This might suggest that people are still keen to move if they can find the right buyer at the right price.
The percentage of agreed sales which have fallen through has increased this month to 11.72 compared to 10.22 the month before which is slightly concerning as it might mean that more buyers are lacking confidence in the market. This lack in confidence could be a result of the credit crunch, with worries of job uncertainly increasing, along with living costs rising.

National Association of Estate Agents Press Release

STEP IN THE RIGHT DIRECTION: NAEA RELIEVED AT TODAY’S INTEREST RATE DECISION - 08/10/08

The National Association of Estate Agents (NAEA), the residential sales arm of the National Federation of Property Professionals (NFOPP), is relieved at the Bank of England’s decision to reduce interest rates today.

Peter Bolton King, Chief Executive of the NAEA, comments: “The cut in interest rates today is definitely a step in the right direction in helping to rectify the current financial climate. At present, it seems that we are stuck in a vicious cycle that will not be broken unless the Government and external bodies join together in providing a cohesive solution to dissolving the economic and financial woes of the country. Thankfully today’s announcement and yesterday’s multi-billion rescue package will go a long way to easing the country’s current woes.

“This cut in interest rates should help consumer confidence at a time where individuals’ self-assurance has taken a heavy hit. We know that a positive housing market is essential for the overall economy. At present borrowing is not getting any easier and mortgage rates are getting tighter, causing the housing market to suffer. Reducing the rate will help send a clear signal to the market, encourage lenders to reduce their rates and allow the current mortgage shackles to be loosened giving the market and the thousands of house hunters out there the positive impetus they need.“

Another satisfied client!

Matt

Great news - securing a sale at a decent price in the current climate is a result !
Still a long way to go but hopefully will be plain saling from here - fingers crossed. Just wanted to say that Castlehill have done a great job so far, restored my faith in Estate Agents !

Regards,
Adam

Good news on Stamp Duty!

Director Greg Ketteringham said: ‘The Leeds market has in the past, proved more robust than other parts of the country, and numerous recent sales are proof of this. With the recent news from the government of a stamp duty holiday on properties up to £175,000 and with interest rates remaining fairly static, many buyers will be eyeing up the bargain prices in the coming weeks and months.

Unlike other agents, Castlehill concentrate on their core business of selling properties. The staff are dedicated purely to achieving a sale. So if you feel your current agent isn’t offering the right level of service or producing results, then why not try Castlehill and find out how different we are to ordinary agents. We don’t promise to work miracles, but you can be assured of accurate, honest advice focused on what is right for you from day one until the conclusion of the selling process.’

Castlehill have gone Green in more ways than one!

Castlehill have invested in a fleet of highly economical and environmentally friendly vehicles. These stylish and innovative cars will help the business to run more efficiently and will concentrate more resources into delivering the best possible customer service. Producing some of the lowest CO2 emissions and with a combined mpg of around 62, these BMW I Series cars help to minimise environmental impact.

Director Paul Lehan stated ‘These cars, which are an essential part of our business, will help us keep running costs to a minimum, allowing us to pass on savings to our clients, particularly valuable in these uncertain economic times. We can go about our business safe in the knowledge that we are maintaining our high levels of professional, honest and friendly service whilst minimising our impact on the environment.’