North West house prices rise as supply and demand gap widens

House prices across the North West are rising higher due to a growing disparity between supply and demand, according to new data from the Royal Institute of Chartered Surveyors (RICS).

The latest UK Residential Market Survey from RICS found that while an additional 61% of North West chartered surveyors saw house prices increase last month, respondents also reported a drop in new instructions.

July saw the average number of properties on the market per surveyor fall to a record low of 63, in comparison to 104 per surveyor at the end of 2014. The survey also found that 50% of respondents in the North West expect house prices to rise further in the coming year.

The managing director of Gascoigne Halman, an estate agents with offices across the North West, commented: “July and August are often regarded as the ‘holiday season’ as there is a lull in activity due to the short supply of quality homes coming on to the market.

“Sellers should take full advantage of the fewer instructions coming to the market and the rising house prices – they may be pleasantly surprised at the response they get.”

Despite prices rising across the region, buyer interest failed to diminish. More than a third (35%) of the RICS survey respondents reported an increase in the number of enquiries from new buyers. Further, 36% believe sales will gain momentum in the next three months.

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