Property sales increase sharply

Activity in the UK housing market picked up significantly in October following three months of falling sales figures.

According to the latest Agency Express Property Activity Index, which is based on the number and activity status of ‘For Sale’ and ‘Sold’ boards across the country, the number of homes ‘Sold’ in October increased by 13.4% last month compared to September.

Sales for the month rose 37.8% compared to October 2008.

Activity in the South East, East Midlands and London boosted the figures. The South East witnessed a 39.4% monthly rise in sales, the East Midlands 35.0% and the capital a 24.5% increase. London and the North West enjoyed the largest number of property sales for 20 months; Wales and the East Midlands experienced their highest level for 18 months, with Scotland witnessing the highest level of sales for 17 months.

The five cities that saw the greatest increase in the number of properties sold in October were Southampton at 62.5%, Nottingham at 60.5%, Brighton at 44.9%, Cardiff at 35.9% and Coventry at 34.0%.

Stephen Watson, Managing Director, Agency Express, said:

“This month’s results provide the housing industry with a very encouraging set of figures. Every region except the North East has seen an increase in the number of properties sold in October and with London and the South East having such a good month we can expect to see the ripple effect of this uplift move into the regions over the coming months.

“The number of sales in October was nearly 80% higher than those achieved in January and the three month trend is also showing that sales are on the up.”

Signs that confidence is returning to the market is evidenced by the 5.6% increase in the number of properties that were put up For Sale in October, which is higher than the figure for October last year.

Again, the three-month trend is also positive. The East Midlands experienced the biggest increase in properties being put up For Sale with a 17.1% uplift followed by Wales at 14.3%, London at 13.8%, the South West at 11.9% and Yorkshire at 10.5%.

Only the North West and the West Midlands saw a decrease in the number of ‘For Sale’ instructions being made. These increases bode well for sales in the coming months as more properties are now available to buy.