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January RICS Survey Signals Early Stabilisation in UK Housing

RICS cautions that any upturn will only hold if mortgage costs ease.

Overview

  • The house price balance improved to -10% in January from a revised -13% in December, the least negative reading since June and slightly better than forecasts.
  • New buyer enquiries rose to -15% from -21%, indicating easing weakness in demand after months of declines.
  • Forward-looking sentiment strengthened, with a net 35% expecting higher sales and 43% anticipating higher prices over the next year.
  • Regional trends remain uneven, with Scotland and Northern Ireland strongest and London, the South East, the South West and East Anglia still lagging.
  • Recent data from Nationwide and Halifax showing monthly price gains supported the survey’s signs of a tentative improvement.