Some 19 per cent of buyers pay above the asking price according to the National Association of Estate Agents.
It says the supply of housing on the market has fallen for the sixth consecutive month from an average of 57 properties in September 2013 to 42 in March 2014, almost a 10 year low.
NAEA member agents also reported an increase in the average number of sales agreed per branch, up from nine in February to 10 in March. It points out that although those looking to buy are serious purchasers, the average number of house hunters registering with NAEA agents dropped by five per cent in March, down from an average of 331 house hunters in February to 313 last month.
As the buyers face the realities of dwindling housing stock, the percentage of first time buyers purchasing a property fell from a four year high of 29 per cent in February to 25 per cent in March. Buyers looking to upsize from an existing home accounted for 50 per cent.
The supply crisis continues to deepen and government must act now to offer house hunters hope in an increasingly congested market. Current conditions mean that in just a few months we've seen a large increase in the amount of people willing to offer over market price says Jan Htch, president of National Association of Estate Agents.
Overall property sales may be up but the proportion of first timers purchasing a property is down and with the significant changes that the Mortgage Market Review will bring, we'll be watching closely to see what kind of an impact is felt she adds.
Comments