The number of new homes being listed for sale has risen for the first time in a year as buying demand remains resilient despite the cost-of-living crisis, according to surveyors.
The latest RICS (Royal Institution of Chartered Surveyors) residential market survey said an increase in listings has helped drive a “modest” rise in sales last month.
RICS said the report showed a net balance of 8% of property professionals witnessed a rise in the volume of fresh listings coming onto the sales market.
Despite mounting concerns about both the macro environment and the war in Ukraine, for now the feedback to the RICS survey shows the housing market remains resilient
Simon Rubinsohn, RICS
Simon Rubinsohn, RICS chief economist, said: “It is encouraging that a little more stock appears to be returning to the market.
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“This is still early days in that inventory remains not far off historic lows but if the trend continues, it could help to create a better balance between supply and demand.”
However, he said there is still a way to go until this become long-term enough to thwart price increases in the industry.
The new figures also showed a net balance of 9% of respondents reporting a rise in new buyer enquiries for the month.
Experts at the trade body said it was the first time since the pandemic that supply of properties and demand from potential buyers had been so closely aligned.
Mr Rubinsohn added: “Despite mounting concerns about both the macro environment and the war in Ukraine, for now the feedback to the RICS survey shows the housing market remains resilient.
“Rising interest rates have begun to push up the cost of mortgage finance but debt servicing remains low in a historic context which helps to explain why the new buyer enquiries indicator remains in positive territory.”
In March, a balance of 74% of respondents saw a rise in house prices, almost identical to the average seen over the past 12 months, according to RICS.