The Royal Institution of Chartered Surveyors (RICS) has warned that action must be taken in order to stop demand outstripping supply in the housing market.
The suggestion comes after the body revealed the results of its latest study, which found that the number of surveyors in the UK reporting rises in property prices is the highest it’s been in 11 years, with the government-backed Help to Buy scheme cited as a main cause.
If action is taken and more properties are provided, buyers may be making renovation plans sooner rather than later, with plenty of loft conversions on the Wirral and in other areas of the UK on the horizon.
RICS’ report highlighted frustrations over a lack measures being put in place to deal with insufficient supply of houses for sale. According to the organisation, supply is far from meeting the demand. The survey showed that 57 per cent of surveyors saw increased prices in the month, which was the highest figure since June of 2002, highlighting the gap.
Sales volumes have not been this high in almost six years, with more people entering the market.
In the three months leading up to October, surveyors reported that, on average, they had each sold 20 properties – the highest number since February 2008.
Surveyors are expecting both sales volumes and house prices to rise even higher over the next few months.
The latest stage in the Help to Buy programme, which provides funded mortgages with deposits from just five per cent, was brought to life in October.
