The number of Northern Ireland home sales rose for the eighth successive month in February and at a stronger rate, according to the latest RICS and Ulster Bank NI Residential Market Survey.
A net balance of +72% of respondents said that there was an increase in the number of houses sold last month, the sharpest rate since July whenever the first lockdown was eased.
Surveyors also remain confident about the outlook for sales activity, with a net balance of +29% of respondents saying that they expect the number of homes sold to increase over the next three months.
Anecdotally, some respondents cite measures announced in the UK Budget such as the 95% mortgage guarantee as a potential catalyst for further sales activity.
In addition to a rise in sales last month, there was also an increase in the number of properties becoming available for sale. A net balance of 35% of respondents said that there were more instructions to sell in February than in the previous month.
When it comes to prices, there continued to be upward pressure, something that surveyors expect to continue over the three months ahead. A net balance of 73% reported rising prices in February, whilst a net balance of 34% expects rising prices between March and May.
Samuel Dickey, RICS Northern Ireland Residential Property Spokesman, says: “The Northern Ireland housing market has been very busy most months since restrictions eased last summer and that continued in February. Indeed, there were indications that activity actually intensified with more sales and instructions. With the measures in the Budget around the extension of the stamp duty holiday as well as the guarantee for 95% mortgages, it is unsurprising that surveyors are also confident that activity will be strong into the months ahead.”
Terry Robb, Head of Personal Banking at Ulster Bank, said: “February continued to be strong in terms of mortgage demand. Despite the restrictions in place at present many people have continued to apply for mortgages and move forward with home purchases and house moves; and of course there are remortgages happening as well. Ulster Bank reintroduced 90% mortgages in December and that is part of the story as first-time buyers who had had difficulty raising a deposit are now able to secure a mortgage.
