The number of properties listed for sale in the UK has fallen for the second month in a row in July, the latest market data shows. It means that the expected rebound post-election, which we normally see when the country's political sector starts to stabilise, has not yet materialised.
Perhaps a result of the fact there was no clear winner in the snap election held in June is to blame, but according to the latest data from HouseSimple, the market has yet to react in this familiar way. As a result, in July, it reported that the number of properties for sale in the UK housing market fell by 1.6 per cent in July.
This follows an even bigger fall in June, when new listings were down by 0.9 per cent compared to May, although this figure would have been more expected, thanks to the election falling at the start of the month.
London saw some of the biggest drop offs in new supply of homes in July, with the capital experiencing a fall of some four per cent month on month when compared to June.
Alex Gosling, HouseSimple chief executive officer, said the fall in new homes coming to market is a result of people having decided to wait and see what happened at the election. When the result delivered no clear winner, those who had decided to sit on what they had then saw no real vision of how to move forward. As such, they have yet to react.
"Right now it feels like sellers aren’t really sure what to do. There is so much negative press around Brexit and very little confidence in the government after such a calamitous election campaign; and fear and uncertainty is weighing heavily on house price growth," he said.
"We were expecting to see a late spring boost in new properties being listed in June and a stronger than usual early summer, but neither has materialised. Sellers are in limbo."