However, demand has cooled across the London commuter zones, suffering a -7% drop. Nationwide, UK demand is up +8% so far this year now at 38%.
UK
Impressively, Wales enjoyed the largest change in property demand since the start of the year at +10% with 34% demand in the second quarter. Scotland followed with an +8% change this year, while England demand saw the lowest change of the countries at +3%. This could be a result of the higher prices across England, as market uncertainty has seen activity largely subdued at higher ends of the market.
UK cities and towns
Demand across the UK’s major cities and towns has seen a slight increase in demand at +1% since the start of the year and there is finally some good news for homeowners in Durham, as it tops the list for largest increase at +60% after a consistent decline over the last year.
The City of Edinburgh is enjoying high demand at 62%, making it the most in demand city in the UK at the moment.
The commuter belt
London’s escalating levels of unaffordability has resulted in a mass shift of home buyers moving to the peripheral commuter belts. This has lead to high levels of demand for property in these towns but this influx of buyers might be starting to slow. Across the commuter belt demand as a whole has dropped -7% since the start of 2018, now at 39%. Tandridge is the hottest spot at 42% demand and has seen an uplift of +30% already this year.
London
Things are looking up for homeowners in London as demand levels have increased by +2% across the capital. Although only a slight uplift, it is the first positive signs of buyer demand in the capital in over a year.
This has largely been driven by areas of Prime Central London (PCL) which have seen the largest jumps in demand since the start of 2018. In particular, the borough of Hammersmith and Fulham has seen demand rise by 71%, trailed by Lambeth at +35%.
England, Wales and Scotland
The highest area for demand in England is Bristol at 45%, while Berkshire has seen the largest change at +50%. In Wales, Newport has the highest demand at 52% and Powys has seen the largest change in 2018 (+54%), while East Renfrewshire has 63% demand currently and Clackmannanshire has seen the greatest increase over the year at +36%.
Russell Quirk, founder and CEO of Emoov.co.uk, had this to say: “Things appear to be looking up in London with the first positive signs of demand growth in over a year, surprisingly driven for the most part by Prime Central London. The capital is always the first to show signs of decline due the higher price tag but it would seem that despite slower market conditions, there is still an appeal for living in the capital.
Market uncertainty is still dampening buyer appetite elsewhere across the nation though as demand in the UK’s larger urban towns and cities has cooled. The London commuter belt has also been on fire for quite some time but has dropped the pace a little in 2018. It is inevitable that such a sustained level of demand will eventually drive prices up and so this slight correction is nothing to worry about.
However, there are positive signs across the board for UK demand and indicators that the market is starting to find its feet again. The more affordable spots across the nation are seeing notable uplifts in buyer demand, and in turn price growth, and as stability builds the upper ends of the market should start to follow suit.”
