Housing market 'hit by Olympics'

Sep 11 2012

Activity in the housing market dipped slightly last month as extensive coverage of the Olympics kept would-be buyers at home, according to a report.

Chartered surveyors reported falls in demand from people looking to view properties in August as well as a drop in newly-agreed sales.

However, experts said sales are going through where vendors are being "realistic" with their asking prices, with transaction levels predicted to pick up slightly in the autumn.

The figures are contained in the Royal Institute of Chartered Surveyors' (RICS) latest monthly UK housing market survey. It measures how chartered surveyors who work in residential sales feel about the state of the market.

The report revealed that the "Olympic effect" kept some potential buyers indoors, with 28% more surveyors reporting falls rather than rises in newly-agreed sales.

In addition, 21% more surveyors noted falls in demand from potential buyers wanting to look at properties. A total of 28% more surveyors in Scotland reported falls instead of rises in prices in their area, similar to the figures recorded in July.

Craig Henderson, of Graham and Sibbald in Glasgow, told the survey: "It has been a fairly quiet summer, almost certainly caused by buyers deciding to holiday in the sun rather than buying houses due to the depressing weather.

"In addition, the saturated coverage of the Olympics has had buyers stay at home, resulting in a delay in buyers emerging from the summer slumbers."

RICS Scotland director Sarah Speirs said: "Little changed in the housing market last month. Reasonable pricing and location have played a large part in successful sales.

"Despite the Olympics taking centre stage throughout much of August, it didn't have any real impact on the proportion of sales going through. Understandably, the amount of people out looking at property fell away slightly but, generally speaking, demand held up fairly well."