Housing sales 'relatively flat' but signs of improvement for autumn

Survey: The report measures the views of chartered surveyors who work in residential sales.

Activity in the housing market was "relatively flat" in September as demand from would-be buyers remained stable in most parts of the country, according to a report.

Chartered surveyors said prices in September fell at a pace consistent with previous months, with the number of homes coming on to the market also experiencing a decline.

The latest UK housing market survey from the Royal Institute of Chartered Surveyors (RICS) revealed experts believe the market should end the year on a flat note, with transaction levels expected to stabilise.

The report measures how chartered surveyors who work in residential sales feel about the state of the market.

It found demand from potential buyers was largely unchanged, with 1% more surveyors seeing decreases rather than increases in new buyer inquiries.

Interest from would-be buyers has not seen any significant growth since the spring of 2011, according to RICS.

Chris Highton, of Allied Surveyors Scotland, said: "The autumn market has now kicked in, with new properties coming on to the market and, more importantly, a reasonable level of sales.

"Volumes are still way down from the peak, so it would be nice to see levels increasing a little, but there are signs that things may be improving."

A net balance of 29% more surveyors reported falls in prices rather than rises, with a total of 19% more surveyors in Scotland predicting prices would fall over the next three months.

The amount of homes coming on to the market also fell away as 40% more respondents reported that supply had fallen rather than risen.

During September, 4% more surveyors predicted transactions to grow during the final three months of the year, down on the previous month's figure of 11%.

Sarah Speirs, director of RICS Scotland, said: "The housing market was relatively flat during September but surveyors are optimistic that the run-in to Christmas could see an increase in activity in many areas across Scotland.

"Prices are still dipping but at a much lower rate than seen in previous months.

"Despite this, problems still exist and more needs to be done to get the market moving.

"Unrealistic expectations on the part of vendors seem to be stalling the transaction process.

"Meanwhile, although the funding for lending scheme appears to be improving mortgage availability, those at the very bottom of the housing ladder are still struggling."

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