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Home buyer interest falls for the first time in eight months

Demand from prospective home buyers fell in May, according to surveyors. The Royal Institution of Chartered Surveyors (Rics) said property professionals reported that new buyer inquiries fell in May, with a net balance of 7% reporting falls rather than rises. This was a turnaround from April when a balance of 8% reported rises in buyer inquiries rather than falls, and May's result brings to an end eight months in a row of positive results for new buyer inquiries. Looking over the next 12 months, expectations point to sales falling, with a net balance of 24% of professionals expecting falls rather than rises. New instructions to sell homes were also largely flat during May, and there seems to be little respite in terms of a lack of supply in the future, Rics said. A net balance of 73% of professionals reported an increase in house prices during May. All parts of the UK continue to see increasing prices, with growth exceptionally strong in Northern Ireland, Northern England and Wales. In the lettings market, tenant demand continues to rise firmly, Rics added. At the same time, landlord instructions continue to decline, pointing to rising rental prices.

Financial Times Daily Mail The Guardian The Independent UK

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