British House Prices Fall to 10-Year Low in May: RICS
Arslan Butt • 1 min read
House prices across Britain fell to the lowest level in 10 years during May with the demand for housing affected by the coronavirus pandemic and the ensuing lockdown. According to RICS, the headline house price balance registered a sharp fall by 32% in the month of May after declining by 22% in the previous month.
On a positive note, however, the outlook for the housing market conditions appears to have improved sightly since April, although it still remains in the negative territory. New buyer enquiries have soared from -94% in April to -5% in May while near-term sales outlook remained neutral and the outlook for the next year rose.
RICS Chief Economist Simon Rubinsohn observes that sales that were pending during the lockdown have started getting processed, adding, “But it remains to be seen how sustained this improvement will prove. For the time being respondents to the survey see the trend in transactions being broadly flat.”
After the pandemic struck, RICS has also noted an increased demand among buyers for properties that include gardens and balconies and are closer to green spaces.