Shropshire boosted by property sales rise

Shropshire's housing market saw a big increase in sales during February, highlighting an upturn in the UK housing market, according to a new survey.

Newly-agreed sales in the region, a good indicator of market activity, surged last month, with 11 per cent more surveyors reporting a rise rather than a fall in activity. This is a significant improvement on January's figures.

It is also the first positive reading since September last year, says the Royal Institution of Chartered Surveyors.

Paul Johnson, of Zaza Johnson and Bath Estate Agents in Shrewsbury, said: "It would appear that sales are up and we are dealing with a lot more people moving into the area.

"Shropshire seems to have held up pretty well compared to other areas. The year started slowly but the last few weeks have been fantastic. The market is looking a lot better in Shropshire than it was 12 months ago."

Despite the improvement in sales, however, surveyors in the region continue to report falling house prices, with 45 per cent more surveyors reporting prices fell rather than rose during February.

This is in keeping with the national picture where 26 per cent more saw prices fall rather than rise. London was the only region to record a positive reading for house prices last month. Jeremy Dell, of J J Dell and Company in Oswestry, said: "Unemployment, lack of work and higher interest rates has created uncertainty and a downward trend in activity, which is set to continue for some time."

John Andrews, of Doolittle and Dalley in Bridgnorth, said: "An increase in sales over the last month encouraging although more new instructions needed to replace properties which have been sold."

Elsewhere in the UK, surveyors in London, the South West, Yorkshire and Humberside and Scotland also reported rises in agreed sales, whereas the East of England, East Midlands and Wales experienced particularly negative readings, suggesting a more downbeat picture in those areas.

Overall demand for property in the region remains low, with four per cent reporting falls not rises in new buyer inquiries.

While low, this is the strongest reading seen in the West Midlands since September.