HOUSING MARKET 'SHOWING SIGNS OF RECOVERY'
THE local property market is showing signs of recovery, it has been claimed.
Following months of bleak reports about falling sales and tumbling house prices, two Newtownabbey estate agents believe that the worst of the housing slump could now be over.
Affordable houses, easy access to mortgage deals and a booming buy-to-let market saw house prices and sales across the borough soar between 2004 and early 2007. But the subsequent economic slowdown and much publicised ‘credit crunch’ meant that the unprecedented increase in property prices was unsustainable.
Fewer attractive mortgage deals, less affordable housing and general economic uncertainty led to a dramatic drop in sales. The market across Northern Ireland suffered a massive slowdown, with transactions hitting an all time low in the first quarter of 2008.
In recent months many estate agents and developers have been forced to slash their prices and offer more and more deals to prospective buyers in a bid to kick-start the market.
Despite months of doom and gloom, Glengormley estate agent Jim McMillan believes the local housing market is now “showing some signs of recovery.”
And with prices across Newtownabbey between 15 and 40 per cent lower than this time last year, Mr McMillan believes that more and more people are being tempted to buy.
“As an estate agent dealing with the property market day-in day-out, I can definitely say that after a few dark months, things are getting brighter.
“Understandably, buyers don’t want to take risks by buying property that is unaffordable, so we reduced our stock by over 1.3 million last week to allow the large numbers of people who have been waiting until houses become affordable to start buying again.
“Those desperate to get on the property ladder now have the opportunity to buy houses which don’t eat up their entire monthly income and there’s so much choice you’re guaranteed to find your ideal home,” he commented.
Colin Graham, Manager of Philip Tweedie and Company’s Glengormley branch, believes that after several slow months in terms of sales, things are now beginning to pick up.
“There does seem to be a bit more movement at the lower end of the market and hopefully that will filter through to the more expensive properties.
“It will take time for the confidence to return to the market, but hopefully it is starting to and things will continue to improve,” he told the Times.
Stephen Orr, a partner with local solicitors J.W McNinch & Son, has seen an increase in convenyancing enquiries in recent weeks, and he too believes the local property market could be on the road to recovery.
“We are certainly busier now than we would have been two months ago. I wouldn’t say the increase has been dramatic, but we’re certainly going in the right direction.
“I think we’ve seen this upturn in business because properties are perhaps now more realistically priced than they were a year or so ago. I think what we have seen was a necessary correction in the market,” he said.
This time last year the average price of a property in East Antrim was 222,759, according to the University of Ulster’s Quarterly House Price Index. However, the latest statistics, published in August, show a significant drop in the average house price to 190,133.
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Weather for Newtownabbey
Wednesday 23 May 2012
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Temperature: 9 C to 21 C
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