Demand for residential property 'outstripping supply'
A Lancashire expert is reporting that the area is seeing demand for property outstripping supply, with sellers forced to turn to rental accommodation or to live with family before securing their own home.The National Association of Estate Agents (NAEA) has announced that the number of house hunters registered with estate agents is at its highest since 2004.
However, the same report indicates that demand is outstripping supply – 450 buyers are registering with estate agents compared to 44 properties available at each branch. Buyers are thought to be keen to take advantage of low mortgage rates while they are still available.Sarah Barnes, head of Residential Property at Napthens solicitors, reported that the law firm has seen the number of new clients increase compared to similar periods in 2013 and 2014, with property sales completing very quickly.
However, Sarah reports that the same sellers are then struggling to buy properties themselves.She said: “Lancashire is undoubtedly reflecting this national trend with demand outstripping supply.
“However, with the speed of sales taking place, it is clear that many people are splitting their sales and purchases, and moving into rented accommodation or with family for a short period of time.
“This has the potential to both help and hinder the property market. The rental market will clearly benefit, as will storage providers, but while demand outstrips supply in such a big way, the market will struggle to fully recover.”