Latest data from HMRC show that the seasonally adjusted estimate of the number of residential property transactions decreased by 1.8% between August 2017 and September 2017.
Richard Sexton, director of e.surv, said: “Transactions have continued in the same pattern that we have seen throughout the year. Although numbers remain level, there hasn’t been exceptional growth. The shortage of housing supply is clearly acting as a roadblock to transactions.
“In order to answer this, a common goal needs to be agreed by the government and those within the housing industry to build more affordable housing. The latest announcements by Sajid Javid are a step in the right direction and with the consultation underway, now is the time for mortgage lenders, house builders, developers and the government to work together to create an accessible housing market for all.”
Adrian Moloney, sales director of OneSavings Bank, added: “Property transactions may be down in the last month but, discounting the Stamp Duty spike last year, activity remains broadly on a par with the levels seen since Q3 2013. Nevertheless with a growing population, standing still might as well be moving backwards, so we would like to see more signs that transactions are rising, and supply is stretching that bit further to meet demand.
“Buyers have been taking advantage of historically low mortgage rates over the past few years and with mutterings of an imminent base rate rise, those considering a move will be incentivised to lock in a good rate while they have the chance. Indeed some mortgage rates are already beginning to climb ahead of the Bank’s interest rate decision next month, so we may see renewed activity over the coming months.”