HMRC reports no change in residential property transactions between July 2016 and August 2016, although it is 6.1% lower compared with the same month last year. However, commercial property transactions have increased by 6.1% between July 2016 and August 2016 and is 8% higher than this time last year.
Greg Bryce, managing director of SearchFlow, comments: “Despite Brexit and the seasonally anticipated lull in housing market activity, transaction levels have remained resilient and there was negligible change over the summer months.”
“With interest rates at a historically low level and many mortgage providers passing on the reduced rates onto their long term fixed mortgages, unemployment levels remaining low and demand for housing outstripping supply, the housing market remains in a strong position.
“Our latest conveyancing sentiment survey reveals that the industry is positive about the health of the property market. The clear majority, 60% of respondents believe that the number of transactions will remain the same for the next quarter, 30% believe transaction levels will increase by 1-10% and 14% of respondents believe it will increase by 11-20%.
“The activity in the commercial market is particularly buoyant with a 6.1% monthly increase, which is 8% higher than this time last year. This trend is reflected in our figures. With a 12% increase in commercial activity in the last month, we have seen this sector buck the trend of the traditionally quieter period and there is clearly a post Brexit bounce in activity.”
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