Bristol estate agents declare: Sales are back

Estate agents across the city say the housing market is finally picking up again after last year's slump.

Agents spoken to by the Bristol Evening Post have all reported increased inquiries and sales, with one reporting a 10 per cent rise in house prices since January.

Figures from the Royal Institution of Chartered Surveyors (RICS) reported inquiries from new buyers nationwide had increased for the seventh month in a row during May, to reach their highest level since August 1999.

However, the RICS said it was a shortage of new homes coming on to the market, combined with the increase in demand, that was providing support for house prices.

Jason Bunting, sales negotiator at Ocean Estate Agents in Gloucester Road, Bishopston, said: "Sales are back, very much so.

"Across the board it's a lot busier and demand is there for a real mix of properties. We've also seen house prices rise by at least 10 per cent in 2009, compared with the slump of September and October of last year."

Andrew Morgan, director of Morgan Beddoe Estate Agents on Whiteladies Road, Clifton, said: "It's been a lot busier. I think the low interest rates have really helped, along with the fact there is a shortage of property for sale. I think people had perceived it was a bad time to sell and the supply of homes has been limited but there are people renting who are still looking to buy.

"There are still difficulties within the market, but things are much better, in particular property up to the value of £400,000. At our last auction we sold 90 per cent, it was very successful. Previous to that is was a case of one or two properties out of 10.

"The demand and the inquiry level is there, we've seen a lot more sales and I think the interest rates have definitely helped."

Tony Benstead, area director for Taylors estate agents, said: "Certainly in 2009 things are improving and the prices are better than they were in 2008. We're trying to encourage more people to get their property valued because it may be worth more than they think. We're putting all our efforts into increasing stock and getting more houses on the market but we are pleased to see things are picking up."

The Department for Communities and Local Government said the average cost of a home in the UK jumped by 1.1 per cent during May, while the gap between current prices and those at the same time a year earlier narrowed to 13 per cent, from 13.6 per cent in March. The effects seem to have been echoed across the city.

James Herniman, senior negotiator at Andrews Estate Agents in Keynsham, said: "We're seeing an increase in sales but there is a vast shortage of property on the market at the moment. Our applicant registers are up and inquiries are up. Certainly property within the £200-300,000 range is flying off the market...I think low interest rates have meant that investors are once again investing in property because there is no incentive to keep their money in the bank, it's not necessarily the first-time buyers though."

George Mawer, senior negotiator at CJ Hole in Henleaze Road, said: "Generally things are very very busy. It's better than last year and people are getting a better price for their property. We've had to take on another member of staff as the diary has become so busy. I think things are picking up but we can't get carried away."

The changes have also been welcomed by lettings agents. Zed Ahmed, manager of Zed and Co Property Lettings, based in East Street, Bedminster, said the recession had almost put him out of business.

Mr Ahmed said: "I feel things are picking up again, it is very slight.

"Earlier this year things were dead but now there is some movement. There is some hope. We were wondering whether we would have to wind things up here but now we are taking more inquiries and people are taking properties."

Despite rising sales and increasing numbers of mortgages being approved for house purchase, economists were still cautioning that it was too early to call the bottom of the market due to rising unemployment and the ongoing problems in the mortgage sector.

The news came as the National Institute of Economic and Social Research suggested the UK returned to growth in April.