Midlands Chartered Surveyors Property Report
14 May 2014
The signs of recovery shown in the property market have brought relief to economists, business owners, and consumers across the country. In the aftermath of a double dip recession, everyone is now focussing on recovery, and the current indicators suggest that the housing market in the Midlands is doing particularly well. Rising house prices and demand for more business premises means that property across the board is in high demand. Businesses involved in construction are equally sought after.
We’ve compiled a short look at the property market in the Midlands, and how it affects Chartered Surveyors.
Rising house prices and demand leads to creation of more jobs
The West Midlands has seen a strong rise in housing prices over the past few months. Property prices rose an average of 5.3 per cent in January this year, two and a half percentage points higher than the national average. It seems as if property values are going to eclipse the 7 per cent rise for 2014 predicted by the Royal Institute of Chartered Surveyors.
Rising demand means that more properties are being built. This is great news for the Midlands, with each property estimated to add around £75,000 to the local economy. Each property also creates 1.8 new jobs, meaning that all companies operating in the property sector, from building firms and structural engineers to estate agents, are likely to benefit from the growing market (source: Express and Star).
High demand for housing, benefits Chartered Surveyors
The rising of house prices and the growing demand for housing across the region has prompted the construction of many new homes. It is also good news for existing homeowners, who are now seeing a rise in the price they can get for their homes. Rising house sales are also good for Chartered Surveyors, with the number of houses sold per surveyor having risen to 24 on average. This is the highest rate it has been since 2010, and shows that buyers are keen to find the right property (source: Redditch & Alcester Advertiser).
Fears that demand may cause skills shortage
While the growing demand for all kinds of property – from residential to commercial – has its benefits, many professionals in the construction industry are concerned that the Midlands could be about to suffer from a skills shortage. The RICS market survey, which has been running for a decade, has just recorded its highest workload levels, with 43 per cent of the respondents concerned about the number of surveyors available to meet the demands.
While this may be a concern, the long term outlook remains positive. Nationally, the construction industry recruited 63,000 new employees (source: Insider Media).
Chartered Surveyors from Allcott Associates
Property can be complex and expensive, meaning that it is vital you have the right checks carried out on a property you intend to buy. Allcott Associates provide you with the property surveyor services that give you peace of mind, solve disputes, and get the best value from your insurers.