Rics: Caution needed over CLG figures

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The Royal Institution of Chartered Surveyors (Rics) has responded to figures from Communities and Local Government (CLG) by urging caution.

Chief economist Simon Rubinsohn explained that while the statistics were slightly more positive for the housing market, questions remain over whether that optimism will be here to stay.

The CLG data showed UK prices stabilised between April and May, with figures differing slightly dependent on geographical location.

Mr Rubinsohn pointed out this was to be expected after the Rics sales to stock ratio – an indicator of supply and demand in the property industry – rose for six months in a row.

However, he said this should not necessarily be taken as a sign the market has begun a full recovery.

"[The sales to stock ratio] remains at a historically low level, which warrants some caution about just how sustainable any improvement in the pricing climate is likely to prove," the expert commented.

Homeowners still unsure over where the market is heading might decide improving their current property with a conservatory or pool house is more appealing than moving."ADNFCR-1495-ID-19265354-ADNFCR"

 

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