The UK housing market activity remained strong in September, as reported by the latest RICS UK Residential Survey. Buyer enquiries, agreed sales and new listings all remained strong over the month. Nevertheless, sales further ahead are expected to weaken amid the challenging macro-economic environment, evidenced by 12-month expectations, which have moved deeper into negative territory.

During September, a headline net balance of +52% of survey participants reported an increase in new buyer enquiries. This marks the fourth consecutive pick-up in demand. Similarly, new instructions rose for a fourth month in a row, which is the longest stretch of rising supply since 2013. With a net balance of +48% of contributors reporting that appraisals are up in annual terms, the pipeline for instructions over the coming months is expected to be solid.

Simon Rubinsohn, RICS chief economist, commented: “The latest RICS survey provides further evidence of the buoyancy of the housing market with more buyers and sellers helping to boost activity across the country. However, there is increasing concern that the combination of significant job losses over the coming month allied to the scaling back of policy initiatives in early 2021 will have an adverse impact on transaction levels.”