The seasonally adjusted estimate of the number of residential property transactions in March 2015 was at a similar level to the previous month, but represents a 2.5% decrease compared to the corresponding month in 2014.
In recent months, seasonally adjusted transactions have been relatively stable. For March 2015 the number of non-adjusted residential transactions was higher compared with February 2015, and also compared with March 2014.
Since February 2014 the number of seasonally adjusted transactions has broadly stabilised at around 100,000 per month.
Brian Murphy, Head of Lending at Mortgage Advice Bureau, commented:
“After a quiet winter – where the number of monthly property transactions dropped below 100,000 for four consecutive months – it is encouraging to see that the growth observed by HMRC in February has been sustained. The number of transactions in March were up 4% compared to the beginning of the year, suggesting the seasonal slowdown in activity is coming to an end.
“While there has been much speculation that political uncertainty surrounding the forthcoming election could lead to a slump in housing activity, this does not seem to be the case so far, with the number of transactions standing just 2.5% below March 2014. Stamp duty reform as well as excellently priced mortgage rates have bolstered activity by stimulating consumer demand.
“Although it is positive to see that there is still plenty of life in the market, maintaining affordability and addressing the imbalance between supply and demand remains a priority. A sustained lack of properties coming on the market will stunt future housing activity, and drive up house prices at a rate that could leave first-time buyers on more modest incomes barred from the property ladder.”
