Derby Property News: The property market has bounced back

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The first quarter of 2010 has seen the re-bounce of property market in Derby, Derbyshire, and the UK in general, according to both the National Association of Estate Agents (NAEA) and the Royal Institution of Chartered Surveyors (Rics).

 

The month of March all across Derby, Derbyshire, and the rest of UK, reported a big rise in the number of people putting their properties up for sale although the first-time buyers continue to be asked to put down very large deposits, typically running at an average 25% of the value of the homes they are buying.

 

For the first three months of 2010 as a whole, completed property sales, at 182,000, were 28% higher than in the first quarter of last year, highlighting the extent to which activity has picked up since early last year.

 

The latest survey of Trends in property Lending, published by the Bank of England, suggested that the property market may now be about to pick up in Derby and across the UK, albeit in a modest fashion.

 

Gross lending for property purchase increased in March according to data from the major Derby and UK lenders.Lenders said that, in their view the effects of the cold winter weather at the start of the year, and the rush by buyers to beat the reintroduction of the old stamp duty threshold of £125,000 at the end of 2009, had now dissipated.

 

Annual property price inflation rose from 6.2% to 7.4% in February, not only in Derby but countrywide also, according to government figures.

 

With the general election approaching and uncertainty growing over the political direction of the country, many vendors who were previously inclined to sit on the sidelines now appear eager to put their properties on the market.

 

Activity is expected to rise over the coming months, but at a more subdued pace, meanwhile, prices are expected to more or less stabilise over the coming months.