RICS data exposes region’s rising house prices

House prices across Yorkshire and the Humber continue to rise, according to new data.

The latest UK Residential Market Survey from the Royal Institution of Chartered Surveyors (RICS) found that in October, 58% more chartered surveyors in the region saw the prices of houses increase, mirroring a nationwide trend.

The survey also found that 27% more chartered surveyors expect asking prices to leap further over the next three months.

RICS further discovered that buyer demand “considerably” outpaces supply across Yorkshire and the Humber. Last month, around a fifth (21%) of respondents reported seeing the number of new sales instructions decline for the ninth consecutive month.

Commenting on the findings, RICS chief economist Simon Rubinsohn said: “It is hard to get away from the issue of supply when it comes to the current state of the housing market.

“The legacy of the drop in new build following the onset of the global financial crisis is now really hitting home, with both the sales and letting markets continuing to show demand outstripping supply on a month by month basis.”

He continued: “If the five-year projections from our Yorkshire and Humber members, regarding the outlook for both prices and rents is anything to go by, property is set to become even more unaffordable going forward; making the Government’s focus of boosting the delivery of new homes absolutely critical.”

Sales activity in the region remained “relatively healthy”, according to RICS, despite the shrinking number of new homes coming to market, with 4% more survey respondents experiencing a sales increase in October.

Furthermore, 29% more respondents said they expect to see sales increase over the next quarter.

Alex Mcneil, the director of West Yorkshire-based Bramleys Estate Agents, commented: “No inflation, no real wage growth, job insecurity and incessant public sector cuts are all factors influencing the local economic mood.

“This is resulting in would-be house sellers staying put as they wait for a phase of recovery.”

Mark John Hunter, a partner at Grice and Hunter in South Yorkshire, said the shortage of stock available at a saleable price continues to be a problem.

He added: “However, the limited stock available is assisting in the sale of less popular property which has been on the market for some considerable time.”

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