Experian’s Property Index latest figures show the number of homes entering the market for sale valued at over £500k rose by almost 30 per cent

  • Homes over £250k accounted for 41 per cent of ‘for sale’ properties coming to market, compared to only 37 per cent last year
  • Rental properties coming onto the market fall for the first time since 2012

Nottingham, UK, 17-7-2014 — /EuropaWire/ — The latest figures from Experian’s Property Index show that between April and June 2014, the number of homes that entered the market for sale valued at over £500k rose by almost a third (30 per cent), while houses for sale in the second highest price band (£250k to £500k) rose by 16 per cent over the last 12 months.  For both price bands, this is the highest level since 2010.

The latest index has revealed that in Q2 2014 homes worth more than £250k made up 41 per cent of all the homes that entered the market for sale in Q2, compared to only 37 per cent the year before (Q2 2013).

The rental market, which had been seeing a steady growth each quarter, saw fewer newly advertised properties coming onto the market for rent – down 4.3 per cent across the UK compared to Q2 in 2013.  The fall was led mainly by the Outer Metropolitan  and South East areas – down 10.5 per cent and 8.8 per cent.

The North East and Wales were the only areas to continue to see a growth in rental properties – up 4.3 per cent and 1.8 per cent.

Jonathan Westley, Managing Director of Consumer Information Services at Experian UK & Ireland, comments:

“The growth in houses prices suggests that homeowners may have made reasonable capital gains on their existing properties, especially as they seek to move up the property ladder. Our latest index shows that higher-end properties now form a greater proportion of properties appearing for sale, implying it is now second or third time buyers, who are more active in the housing market.  But, 59 per cent of all properties across the UK were still valued at less than £250k, so there are opportunities for those with smaller budgets.

“The challenge for people wanting to secure a mortgage is showing themselves in the best possible light to lenders; i.e. applicants who can afford the long term commitment, especially with an interest rate rise looming.  Lenders have just as an important role to play ensuring they are not making decisions that could see a person fall into debt in the future.  The more information they can source to fully understand a person’s individual circumstances, such as property information, the fairer the decision they can make about granting a mortgage.”

Property Index highlights

• Overall, the number of properties to enter the market for sale between April to June 2014, increased by 9.6 per cent compared to the same period in 2013.
• This rise was led by the North East region which saw the number of houses coming to the market for sale increase by a quarter (25.6 per cent) compared to Q2 2014.
• The only area in the UK that witnessed a fall in numbers was the East of England, which found the number of homes coming on to the sales market decreased slightly by 2.6 per cent.
• The rise in the over £500k price band was, unsurprisingly, led by the London region which saw a staggering 50.7 per cent increase.  This was followed by the Outer Metropolitan and South West areas.
• The West Midlands appeared among the areas to see the highest increase in properties with more than £500k coming onto the market for sale – up 25.5 per cent.
• The North East continued to see the most affordable properties (less than £100k) entering the market – up by 33.6 per cent.  It was also one of the only two areas to see rental properties increase in Q2.

The table below shows the percentage change from Q2 2013 to Q2 2014 in the number of properties that entered the ‘for sale’ market during this period.

From Q2 2014 to Q2 2014 >£100k £100k-£250k £250k-£500k <£500k Total
East Midlands -9.15 6.26 20.27 10.32 6.51
East of England -9.13 -11.68 10.23 13.23 -2.62
London -20.18 -37.62 25.47 50.72 19.23
North East 33.56 23.95 16.76 9.35 25.61
North West 7.53 18.94 17.65 6.03 15.26
Outer Met -51.81 -22.06 16.51 34.34 4.52
Scotland 14.50 11.04 21.83 19.60 14.08
South East -15.49 -12.00 12.77 21.82 2.50
South West -12.07 1.60 18.36 26.81 8.45
Wales 10.62 7.63 14.42 19.25 10.07
West Midlands 2.36 8.45 12.31 25.52 9.23
Yorkshire and The Humber 12.67 14.45 9.73 5.90 12.86
UK 6.67 2.25 16.32 29.91 9.58

For lenders interested in finding out how information about property type, value and ownership can help them understand and treat their customers more fairly, please visit www.experian.co.uk/property-data


Notes to editors

1 The highest since 2010 when Experian’s analysis of the property data begins.
2 Covers Dartford, Enfield, Kingston-Upon-Thames, Romford and Watford.

Experian’s Quarterly Property Index sources data from a range of UK sales & letting agents.

Maddy Morgan Williams / Sarah Muir
Lansons Communications
020 7490 8828
maddymw@lansons.com / sarahm@lansons.com

About Experian 
Experian is the leading global information services company, providing data and analytical tools to clients around the world. The Group helps businesses to manage credit risk, prevent fraud, target marketing offers and automate decision making. Experian also helps individuals to check their credit report and credit score, and protect against identity theft.

Experian plc is listed on the London Stock Exchange (EXPN) and is a constituent of the FTSE 100 index. Total revenue for the year ended March 31, 2014, was US$4.8 billion. Experian employs approximately 16,000 people in 39 countries and has its corporate headquarters in Dublin, Ireland, with operational headquarters in Nottingham, UK; California, US; and São Paulo, Brazil.

For more information, visit http://www.experianplc.com.


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