Lack of supply has pushed up prices
A LACK of stock is boosting house prices, according to Hometrack.
Its latest report reveals that prices rose by 0.3 per cent this month, but stock volumes and the level of sales agreed were down.
London house prices rose by 0.7 per cent, while prices fell in just one region, the North-East.
Supply is an issue for many agents. It has grown by 13 per cent over the last two months, but by 3.5 per cent over the last six. Demand has risen by 19 per cent in the last two months, but the rate of increase fell this month, and is lower than this time last year.
Richard Donnell, Hometrack’s housing analyst, says market sentiment is improving, but added: “The problems of affordability and deposit levels still remain serious impediments.”