Property markets picking up in York, North and East Yorkshire

The Royal Institution of Chartered Surveyors (RICS) says inquiries by potential property buyers rose at their fastest pace in almost a decade last month across the country, as sales edged up further.

Spokesman Jeremy Leaf said there were tentative signs the market was starting to pick up, but transactions remained at very low levels. “We are unlikely to see significant improvement while money remains in short supply and the employment picture is uncertain,” he said.

In York, leading RICS member Edward Waterson, of Carter Jonas, said he was seeing the busiest market for more than a year.

“Nominal interest rates on investments and a feeling that property represents better value have led to a lot of activity and the occasional bidding war,” he said.

Ben Hudson, of another York firm of estate agents, Hudson Moody, said there had been a small upturn leading to an increase in sales.

Malcolm Parker, of Joplings Estate Agents of Thirsk, said with interest rates at rock bottom, property was looking like a reasonable investment in the long term. He said: “While many people would like to purchase houses at present price levels, difficulties in obtaining mortgages and job uncertainty are still proving to be major obstacles.”

Richard Graves, of Dunk, Lewis and Graves of Bridlington, said that HIPs (Home Improvement Packs) were like a “ball and chain round our ankles”. But despite this, levels were reasonable comparable with previous years, although sales and inquiries were both down.

“We are possibly bumping along the bottom, but I see no reason to be optimistic, even with an election next year.”

Mr Leaf said that nationally, house prices could stabilise over coming months.

“But prospective purchasers – and first-time buyers particularly – will continue to encounter challenges while banks maintain current loan-to-value ratios and make accessibility difficult even for those who have accumulated considerable equity in their existing properties.”

He said the supply of property coming on to the market remained constricted, as prospective sellers were put off by subdued prices and low interest rates.