The much-watched RICS survey shows the net balance for new buyer enquiries hit 10 per cent in June, as other indicators also ticked up.
The new instructions metric, which has read negative for a year, “edged into positive territory” and the newly agreed sales balance also changed direction, hitting 2 per cent – the first time this measurement has not declined in 10 months.
The leadline price balance moved from -9 per cent in May to -1 per cent, and the three-month outlook is one of stable house price inflation. Looking ahead to 12 months, 25 per cent more respondents expect house prices to rise, making for an 11-month high in this indicator.
However, RICS also reports that new stock levels are at record lows, and that 24 per cent more of those asked said that appraisals are lower on a like-for-like basis than they were at this time last year.
On the rental side, new landlord instructions fell for the twentieth month in a row, and the expectation is for 3.6 per cent rise per annum growth over the next five years.
Additionally, this month’s survey saw the introduction of a new question regarding the new build premium. Over half – 52 per cent – of those asked said that this ranged from 5-10 per cent across the UK, with one third of those asked saying that the premium had “narrowed” in London.
RICS chief economist Simon Rubinsohn says: “The latest data provides further evidence of the sales market settling down, but I don’t get the impression from the insight provided by contributors that this is fuelling hope of a significantly more active market… many of the factors that have provided a challenge during the first half of the year remain unresolved.”